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The Most Important Thing
Book

The Most Important Thing

Uncommon Sense for the Thoughtful Investor

Columbia UP, 2011 more...


Editorial Rating

7

Qualities

  • Applicable

Recommendation

Lifetime value investor Howard Marks has distilled his approach and experience into a concise, focused text that offers seasoned investment wisdom to those looking for a way forward in today’s financial markets. The book, a compilation of Marks’s investor newsletters, contains exceptional chapters on risk management, contrarian thinking and market psychology, as well as a cogent analysis of value investing. While it is somewhat repetitive, getAbstract recommends it to all serious investors who are interested in getting back to the “fundamentals” of investing.

Take-Aways

  • If you want your investments to beat the market, develop “second-level thinking.”
  • Second-level thinkers don’t follow the crowd; they use insight and intuition to go beyond the obvious in assessing an investment.
  • Good investors analyze a firm’s “fundamentals” to get a stock’s “intrinsic value.”

About the Author

Howard Marks is chairman and co-founder of Oaktree Capital Management, an investment firm with $80 billion under management.


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