Category Archives: Timeless Wisdom

Value Investing, the Sanjay Bakshi Way | Safal Niveshak

Safal Niveshak: Value investing requires a great deal of research, discipline, and
patience. What do you suggest an investor just starting out could do to practice
these habits to ingrain them in his/her investing mindset? How easy or difficult
were these and other relevant habits for you to form in your early years as a value
investor?

Prof. Bakshi: One of my role models is Charlie Munger who often talks about the idea
of “inversion” like the man who wanted to know where he was going to die so he never
went there. So, I’m going to use the same trick by inverting your question. Let me focus
on not what an investor who’s just starting out should do, but on what he must avoid
doing.

Don’t ask the barber, you need a haircut

So, my first advice to investors who are just starting out is that they must avoid listening
to intermediaries, whose interests are not aligned to their own interests.

You’re really on your own out there. Warren Buffett’s office table has a framed
quotation: “A fool and his money are soon invited everywhere.”

People who invested in the Reliance Power IPO or the Facebook IPO would know what
that means.

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