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Sunday, March 6, 2011

Legend of Investing- Benjamin Graham

Benjamin Graham, the father of value investing and of security analysis. He is the teacher of great investors such as Warren Buffet, Walter Schloss and Irving Kahn. He was a great teacher and great intellectual mind in investing, and he was also a practitioner. His returns have been documented at about 17% per year between the years of 1929 and 1956.


Graham was monumental in moving investing from random speculation to one that relied on evidence. He was one of the first to utilize P/E ratio, debt ratios, book value, current assets etc.


Graham along with his colleague David Dodd produced a text book known as Security Analysis, which it a must have classic for those who believe in value investing. He also authored Intelligent Investing, which Warren Buffet calls "by far the best book on investing ever written".

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