Why investors should take a ‘private equity’ approach in this difficult market
By taking a private equity approach to investing in the public equity markets in this difficult market, investors can harness the “best of both worlds” and still make superior returns over the long term.
Investors can find great bargains in this myopic market if they focus on Ben Graham’s dictum that the market is a long-term “weighing machine”
Benjamin Graham, the father of ‘value investing’, once famously said that in the short run the market is a “voting machine”, but in the long run it is a “weighing machine”. Sentiment determines short-term prices, however fundamentals and performance dictate price in the long run.
