Great Topic. My opinion goes as follows.
The principles of value investing as proposed as applied by B. Frankklin, Buffets and the likes are very sound and correct, but hardly applicable for the modern private/passive investor. The reason is, once the tenets of a working strategy are well known and studied, the market integrates them and gets closer to full efficiency. It takes some level of self confidence (arrogance ?) to believe that one has valued a company correctly while huge funds and institutional investors with advanced algorithms and computers have failed to see that. Such opportunities may still arise, but more often than not, it is likely to be a value trap.
all things (Rewards) being equal, I believe quality dividend stocks are a better/safer bet for a passive/private investors using only his excel sheet. Alternatively an index fund would make some sense, but thats beyond the topic.
The principles of value investing as proposed as applied by B. Frankklin, Buffets and the likes are very sound and correct, but hardly applicable for the modern private/passive investor. The reason is, once the tenets of a working strategy are well known and studied, the market integrates them and gets closer to full efficiency. It takes some level of self confidence (arrogance ?) to believe that one has valued a company correctly while huge funds and institutional investors with advanced algorithms and computers have failed to see that. Such opportunities may still arise, but more often than not, it is likely to be a value trap.
all things (Rewards) being equal, I believe quality dividend stocks are a better/safer bet for a passive/private investors using only his excel sheet. Alternatively an index fund would make some sense, but thats beyond the topic.