The intelligent investor : a book of practical counsel / Benjamin Graham.

By: Graham, Benjamin, 1894-.

Material type: materialTypeLabel

BookPublisher: New York, N.Y. : Harper & Row, [1985], c1973Edition: 4th rev. ed. / by Warren E. Buffett, with a new pref. and apppendix.Description: xviii, 340 p. ; 22 cm.ISBN: 0060155477 .Subject(s): Securities

| Investments

DDC classification: 332.678

Contents:

Investment versus speculation: results to be expected by the intelligent investor -- The investor and inflation -- A century of stock-market history: the level of stock prices in early 1972 -- General portfolio policy: the defensive investor -- The defensive investor and common stocks -- Portfolio policy for the enterprising investor: negative approach -- Portfolio policy for the enterprising investor: the positive side -- The investor and market fluctuations -- Investing in investment funds -- The investor and his advisers -- Security analysis for the lay investor: general approach -- Things to consider about per-share earnings -- A comparison of four listed companies -- Stock selection for the defensive investor -- Stock selection for the enterprising investor -- Convertible issues and warrants -- Four extremely instructive case histories -- A comparison of eight pairs of companies -- Stockholders and managements: dividend policy -- "Margin of safety" as the central concept of investment.

Holdings
Item type	Current library	Call number	Copy number	Status	Date due	Barcode	Item holds
General Lending	MTU Bishopstown Library Lending	332.678 (Browse shelf(Opens below))	1	Checked out	24/03/2023	00082772

Total holds: 0

Enhanced descriptions from Syndetics:

This guide to the stockmarket offers principles proven by the success of investors for over 35 years. Its main objective in its philosophy of value investing is to protect the investor against the areas of possible error and to develop policies which are rational.

Includes bibliographical references and index.

Table of contents provided by Syndetics

Preface (p. vii)
Introduction What This Book Expects to Accomplish (p. ix)
1. Investment versus Speculation: Results to Be Expected by the Intelligent Investor (p. 1)
2. The Investor and Inflation (p. 16)
3. A Century of Stock-Market History: The Level of Stock Prices in Early 1972 (p. 26)
4. General Portfolio Policy: The Defensive Investor (p. 40)
5. The Defensive Investor and Common Stocks (p. 53)
6. Portfolio Policy for the Enterprising Investor: Negative Approach (p. 63)
7. Portfolio Policy for the Enterprising Investor: The Positive Side (p. 73)
8. The Investor and Market Fluctuations (p. 94)
9. Investing in Investment Funds (p. 116)
10. The Investor and His Advisers (p. 131)
11. Security Analysis for the Lay Investor: General Approach (p. 145)
12. Things to Consider About Per-Share Earnings (p. 165)
13. A Comparison of Four Listed Companies (p. 175)
14. Stock Selection for the Defensive Investor (p. 183)
15. Stock Selection for the Enterprising Investor (p. 201)
16. Convertible Issues and Warrants (p. 220)
17. Four Extremely Instructive Case Histories (p. 233)
18. A Comparison of Eight Pairs of Companies (p. 246)
19. Stockholders and Managements: Dividend Policy (p. 269)
20. "Margin of Safety" as the Central Concept of Investment (p. 277)
Postscript (p. 288)
Appendixes (p. 291)
1. The Superinvestors of Graham-and-Doddsville
2. Important Rules Concerning Taxability of Investment Income and Security Transactions (in 1972)
3. The New Speculation in Common Stocks
4. A Case History: Aetna Maintenance Co.
5. Tax Accounting for NVF's Acquisition of Sharon Steel Shares
6. Technological Companies as Investments
Index (p. 329)

Excerpt provided by Syndetics

Chapter One Investment versus Speculation: Results to Be Expected by the Intelligent Investor This chapter will outline the viewpoints that will be set forth in the remainder of the book. In particular we wish to develop at the outset our concept of appropriate portfolio policy for the individual, nonprofessional investor. Investment versus Speculation What do we mean by "investor"? Throughout this book the term will be used in contradistinction to "speculator." As far back as 1934, in our textbook Security Analysis , we attempted a precise formulation of the difference between the two, as follows: "An investment operation is one which, upon thorough analysis promises safety of principal and an adequate return. Operations not meeting these requirements are speculative." While we have clung tenaciously to this definition over the ensuing 38 years, it is worthwhile noting the radical changes that have occurred in the use of the term "investor" during this period. After the great market decline of 1929-1932 all common stocks were widely regarded as speculative by nature. (A leading authority stated flatly that only bonds could be bought for investment.) Thus we had then to defend our definition against the charge that it gave too wide scope to the concept of investment. Now our concern is of the opposite sort. We must prevent our readers from accepting the common jargon which applies the term "investor" to anybody and everybody in the stock market. In our last edition we cited the following headline of a front-page article of our leading financial journal in June 1962: SMALL INVESTORS BEARISH, THEY ARE SELLING ODD-LOTS SHORT In October 1970 the same journal had an editorial critical of what it called "reckless investors," who this time were rushing in on the buying side. These quotations well illustrate the confusion that has been dominant for many years in the use of the words investment and speculation. Think of our suggested definition of investment given above, and compare it with the sale of a few shares of stock by an inexperienced member of the public, who does not even own what he is selling, and has some largely emotional conviction that he will be able to buy them back at a much lower price. (It is not irrelevant to point out that when the 1962 article appeared the market had already experienced a decline of major size, and was now getting ready for an even greater upswing. It was about as poor a time as possible for selling short.) In a more general sense, the later-used phrase "reckless investors" could be regarded as a laughable contradiction in terms--something like "spendthrift misers" -- were this misuse of language not so mischievous. The newspaper employed the word "investor" in these instances because, in the easy language of Wall Street, everyone who buys or sells a security has become an investor, regardless of what he buys, or for what purpose, or at what price, or whether for cash or on margin. Compare this with the attitude of the public toward common stocks in 1948, when over 90% of those queried expressed themselves as opposed to the purchase of common stocks. About half gave as their reason "not safe, a gamble," and about half, the reason "not familiar with." It is indeed ironical (though not surprising) that common-stock purchases of all kinds were quite generally regarded as highly speculative or risky at a time when they were selling on a most attractive basis, and due soon to begin their greatest advance in history; conversely the very fact they had advanced to what were undoubtedly dangerous levels as judged by past experience later transformed them into "investments," and the entire stock-buying public into "investors." The distinction between investment and speculation in common stocks has always been a useful one and its disappearance is a cause for concern. We have often said that Wall Street as an institution would be well advised to reinstate this distinction and to emphasize it in all its dealings with the public. Otherwise the stock exchanges may some day be blamed for heavy speculative losses, which those who suffered them had not been properly warned against. Ironically, once more, much of the recent financial embarrassment of some stock-exchange firms seems to have come from the inclusion of speculative common stocks in their own capital funds. We trust that the reader of this book will gain a reasonably clear idea of the risks that are inherent in common-stock commitments -- risks which are inseparable from the opportunities of profit that they offer, and both of which must be allowed for in the investor's calculations. What we have just said indicates that there may no longer be such a thing as a simon-pure investment policy comprising representative common stocks -- in the sense that one can always wait to buy them at a price that involves no risk of a market or "quotational" loss large enough to be disquieting. In most periods the investor must recognize the existence of a speculative factor in his common-stock holdings. It is his task to keep this component within minor limits, and to be prepared financially and psychologically for adverse results that may be of short or long duration. Two paragraphs should be added about stock speculation per se, as distinguished from the speculative component now inherent in most representative common stocks. Outright speculation is neither illegal, immoral, nor (for most people) fattening to the pocketbook. More than that, some speculation is necessary and unavoidable, for in many common-stock situations there are substantial possibilities of both profit and loss, and the risks therein must be assumed by someone. There is intelligent speculation as there is intelligent investing. But there are many ways in which speculation may be unintelligent ... Intelligent Investor, Rev. Ed, The . Copyright © by Benjamin Graham. Reprinted by permission of HarperCollins Publishers, Inc. All rights reserved. Available now wherever books are sold.

Reviews provided by Syndetics

Booklist Review

The essential guide for those who analyze fundamentals, such as balance sheets, production figures, and managerial expertise, to make investment decisions. Graham is invest whiz Warren Buffet's guru.