Trisha Shetty (Editor)

The Intelligent Investor

Updated on
Edit
Like
Comment
Share on FacebookTweet on TwitterShare on LinkedInShare on Reddit
8.6
/
10
1
Votes
Alchetron
8.6
1 Ratings
100
90
81
70
60
50
40
30
20
10
Rate This

Rate This

4.5/5
Flipkart

Cover artist
  
Donavan Hayes

Language
  
English

Pages
  
640

Author
  
Benjamin Graham

Publisher
  
Harper

Subjects
  
Security, Investment

4.3/5
Goodreads


Country
  
United States

Publication date
  
1949

Originally published
  
1949

Page count
  
640

LC Class
  
HG4521.G665

The Intelligent Investor t0gstaticcomimagesqtbnANd9GcTTSIZa5q9u5aVrX

ISBN
  
0-06-055566-1 (2008 edition)

Similar
  
Security Analysis, A Random Walk Down Wall Stre, The Only Investment Guide Yo, The Bogleheads' Guide to I, The Intelligent Asset Allo

The intelligent investor benjamin graham animated book review


The Intelligent Investor by Benjamin Graham, first published in 1949, is a widely acclaimed book on value investing.

Contents

Tip88 the intelligent investor by benjamin graham


Background and history

The Intelligent Investor is based on value investing, an investment approach Graham began teaching at Columbia Business School in 1928 and subsequently refined with David Dodd. This sentiment was echoed by other Graham disciples such as Irving Kahn and Walter Schloss.

The Intelligent Investor also marks a significant deviation to stock selection from Graham's earlier works, such as Security Analysis. He explained the change as:

The thing that I have been emphasizing in my own work for the last few years has been the group approach. To try to buy groups of stocks that meet some simple criterion for being undervalued-regardless of the industry and with very little attention to the individual company... I found the results were very good for 50 years. They certainly did twice as well as the Dow Jones. And so my enthusiasm has been transferred from the selective to the group approach.

Mr. Market

Graham's favorite allegory is that of Mr. Market, an obliging fellow who turns up every day at the shareholder's door offering to buy or sell his shares at a different price. Often, the price quoted by Mr. Market seems plausible, but sometimes it is ridiculous. The investor is free to either agree with his quoted price and trade with him, or ignore him completely. Mr. Market doesn't mind this, and will be back the following day to quote another price.

The point of this anecdote is that the investor should not regard the whims of Mr. Market as a determining factor in the value of the shares the investor owns. He should profit from market folly rather than participate in it. The investor is advised to concentrate on the real life performance of his companies and receiving dividends, rather than be too concerned with Mr. Market's often irrational behavior.

Editions

Since the work was published in 1949 Graham revised it several times, most recently in 1971–72. This was published in 1973 as the "Fourth Revised Edition" ISBN 0-06-015547-7, and it included a preface and appendices by Warren Buffett. Graham died in 1976. Commentaries and new footnotes were added to the fourth edition by Jason Zweig, and this new revision was published in 2003.

  • The Intelligent Investor (Re-issue of the 1949 edition) by Benjamin Graham. Collins, 2005, 269 pages. ISBN 0-06-075261-0.
  • The Intelligent Investor (Revised 1973 edition) by Benjamin Graham and Jason Zweig. HarperBusiness Essentials, 2003, 640 pages. ISBN 0-06-055566-1.
  • An unabridged audio version of the Revised Edition of The Intelligent Investor was also released on July 7, 2015.

    Book contents

    2003 edition

  • Introduction: What This Book Expects to Accomplish
  • Commentary on the Introduction
    1. Investment versus Speculation: Results to Be Expected by the Intelligent Investor
    2. The Investor and Inflation
    3. A Century of Stock Market History: The Level of Stock Market Prices in Early 1972
    4. General Portfolio Policy: The Defensive Investor
    5. The Defensive Investor and Common Stocks
    6. Portfolio Policy for the Enterprising Investor: Negative Approach
    7. Portfolio Policy for the Enterprising Investor: The Positive Side
    8. The Investor and Market Fluctuations
    9. Investing in Investment Funds
    10. The Investor and His Advisers
    11. Security Analysis for the Lay Investor: General Approach
    12. Things to Consider About Per-Share Earnings
    13. A Comparison of Four Listed Companies
    14. Stock Selection for the Defensive Investor
    15. Stock Selection for the Enterprising Investor
    16. Convertible Issues and Warrants
    17. Four Extremely Instructive Case Histories and more
    18. A Comparison of Eight Pairs of Companies
    19. Shareholders and Managements: Dividend Policy
    20. "Margin of Safety" as the Central Concept of Investment
  • Postscript
  • Commentary on Postscript
  • Appendixes
    1. The Superinvestors of Graham-and-Doddsville
    2. Important Rules Concerning Taxability of Investment Income and Security Transactions (in 1972)
    3. The Basics of Investment Taxation (Updated as of 2003)
    4. The New Speculation in Common Stocks
    5. A Case History: Aetna Maintenance Co.
    6. Tax Accounting for NVF's Acquisition of Sharon Steel Shares
    7. Technological Companies as Investments
  • Endnotes
  • Index
  • References

    The Intelligent Investor Wikipedia