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Famous Value Investors VIC Write-ups


feynmanresearch

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I am posting below some very good write-ups from value investors Mohnish Pabrai, Michael Burry and Norbert Lou.

 

I believe anyone would find these write-ups very useful in trying to dissect the thoughts process and analysis of top notch investors.

 

www.valueinvestorsclub.com/member/nish697/1388- Mohnish Pabrai

 

www.valueinvestorsclub.com/member/charlie479/1180- Norbert Lou

 

www.valueinvestorsclub.com/member/michael99/1219- Michael Burry

 

Enjoy!

 

 

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Interesting that Michael Burry's writeup about Quipp here performed quite poorly.  See the subsequent market prices in the attached image from his $19 writeup price.  Not criticizing, just pointing out that you can have a cheap stock that gets lots cheaper and predicting the future is super hard for everyone.

Screen_Shot_2015-08-09_at_3_48.46_PM.png.070dba54333422fdb63b2cbcbac74be1.png

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  • 1 month later...
  • 3 weeks later...

Does anyone know much about Norbert Lou? Hadn't heard of him before this.

 

He runs Punchcard Capital, I think. It's 60% mostly invested in BRK, or something like that. Most recent (and only) add last Q was Care.com (not that I'm pumping it or anything).

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Guest longinvestor

Does anyone know much about Norbert Lou? Hadn't heard of him before this.

 

He runs Punchcard Capital, I think. It's 60% mostly invested in BRK, or something like that. Most recent (and only) add last Q was Care.com (not that I'm pumping it or anything).

I'm seeing that he has 70% in BRK. My kind of guy. More power to him. That said, in Charlie's Almanac, Munger notes that investors will ask themselves why they shouldn't do this themselves?

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Does anyone know much about Norbert Lou? Hadn't heard of him before this.

 

He runs Punchcard Capital, I think. It's 60% mostly invested in BRK, or something like that. Most recent (and only) add last Q was Care.com (not that I'm pumping it or anything).

 

Where do you see that he owns this?

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Guest longinvestor

I don't really see how he justifies charging a fee for that. It seems pretty lazy. He really should be able to outperform a sleepy industrial conglomerate with his own stock picking.

Fees aside, lazy overwhelmingly has trounced busy, no? $ from the impatient to patient and all that.

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Does anyone know much about Norbert Lou? Hadn't heard of him before this.

 

He runs Punchcard Capital, I think. It's 60% mostly invested in BRK, or something like that. Most recent (and only) add last Q was Care.com (not that I'm pumping it or anything).

I'm seeing that he has 70% in BRK. My kind of guy. More power to him. That said, in Charlie's Almanac, Munger notes that investors will ask themselves why they shouldn't do this themselves?

 

I think the thing that people misunderstand with strategies that are concentrated in long-term investments is that the investment manager isn't "just picking X stocks and sitting on his or her ass." He's also "actively" passing on a whole host of other stocks.

 

The game is as much about what you don't do as it is about what you do do.

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I don't really see how he justifies charging a fee for that. It seems pretty lazy. He really should be able to outperform a sleepy industrial conglomerate with his own stock picking.

 

He has other holdings, they are just foreign so don't show up on the 13F.  I met an investor in his fund and asked why he doesn't just buy BRK and WFC himself (since that was all that was on the 13F at the time), and that's what he told me.

 

I remember hearing somewhere that Joel Greenblatt seeded his fund.

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Guest Grey512

Before some of you gentlemen go on criticizing N. Lou / Punch Card, it is worth considering the following:

- he has a tremendous track record

- for many years Greenblatt has held up Lou as perhaps one of the smartest and most talented investors whom Greenblatt ever met, particularly in terms of Lou's clarity of thought process and iron discipline

- you know nothing of his fee structure, so are not particularly well-placed to comment on whether it is egregious

- you know nothing about Lou's holdings on non-U.S. exchanges

 

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Guest longinvestor

Does anyone know much about Norbert Lou? Hadn't heard of him before this.

 

He runs Punchcard Capital, I think. It's 60% mostly invested in BRK, or something like that. Most recent (and only) add last Q was Care.com (not that I'm pumping it or anything).

I'm seeing that he has 70% in BRK. My kind of guy. More power to him. That said, in Charlie's Almanac, Munger notes that investors will ask themselves why they shouldn't do this themselves?

 

I think the thing that people misunderstand with strategies that are concentrated in long-term investments is that the investment manager isn't "just picking X stocks and sitting on his or her ass." He's also "actively" passing on a whole host of other stocks.

 

The game is as much about what you don't do as it is about what you do do.

 

The theme of sitting on ass on long term investments fills the pages of Charlie's almanac. And BRK's portfolio. The actively passing other ideas applies to them looking for ways to put new money (the endless gusher) to work. In many cases, they are putting more $ into the ideas already under their ass. 10% positions become 100% routinely when markets offer it to them. To me this is tantamount to sitting on butts as well.

 

I suppose there are other investment managers, I don't give a lick about most of them and how busy they are or how they operate.

 

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Guest Grey512

ratiman,

It's Greenblatt, not Greenberg. And trust me, I do not overweigh his opinions - I have (on occasion) shorted stocks that he owns. It's just that some posters on this thread do not seem particularly well-informed about Lou and his fund and appear to be making assumptions and then posting stuff of little use which is rooted in those assumptions, which is counter-productive and potentially misleading for the readers.

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  • 3 weeks later...

The cult-like behavior of value investors is so bizarre. Who gives a shit what Joel Greenberg thinks? Think for yourself.

 

Lol, i don't think anyone cares what Joel Greenberg thinks

 

It's maybe been 20 or so years but I seem to recall reading in one of the earlier books on Buffett, possibly; Buffett, The Good Guy on Wall Street by Kirkpatrick or some such book, that a guy said of Buffett: 'he would call around and ask everyone what they were buying but after the conversation they'd realize that Buffett had never shared even a single one of is own purchases. ' (I've probably embellished it but it was rather a cute quote at the time.)

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