If you’re a serious about Investing, you will want to read today’s post on the Eight Investing Principals Wall Street Hedge Fund Manager, Bill Ackman uses as a foundational business strategy.
Most Retail and some Institutional Investors lack basics related to Investing and lack control of emotional temperament. So this is why you must study successful fund managers and re-engineer or use their strategies. Mohnish Pabrai is always laughing while saying, “He is a Shameless Copier in Business.” I admit that’s insightful.
Members of Congress have an incredible investing track record. Is it because they have inside knowledge? Or are their Advisors doing shady business on the side? Who knows! However, if you haven’t been paying attention to the Members of Congress’s investments that are listed publicly? You will likely be in for a surprise. Be sure to check them out here on Capital Trades! If you don’t know about ValueInvesting.IO you may want to check them out. They keep up to date with Congressional Members Investments. While I am on this subject?
Paul Pelosi or Congresswoman Nancy Pelosi’s Husband is a formidable Investor and has beat the Market with incredible accuracy over the years. And you may reach the conclusion that I have. Something just doesn’t add up when looking at the results and Data. However if they are using material inside information to trade by being close to Congress? I would like to think that’s highly illegal. But from my investigation it is not considered by Congressional Investigators that anything below board could be happening. Huh! That is strange. If your an Activists like most of us? You will like to keep tabs on Political Events. That’s wise.
Today I am strictly focusing on the Investing Principles from the Mr Baby Buffett of Wall Street and the King of activist investors, the talented and always respectful Mr Bill Ackman
If I could share some of the value principles Mr. Ackman and other Prominent investors have shared online? I think if you just keep being curious. And keep being a investigator? You will eventually arrive at the inescapable truth. Most value investors find from their Due Diligence Checklists. Just keep asking questions and learning as you go as a value investor. This makes the most sense. And something I learned from watching all of Bill’s Videos.
The Father of Value Investing
“Bill shared with me that Investing is something you can learn by reading.” Benjamin Graham is a man you should research if you’re interested in becoming the next Bill Ackman. Read the Intelligent Investor. I promise you will thank me later. Watching everything Warren Buffett and Charlie Munger have said on video also helps the intrinsic value of being among value investors pay massive dividends. But it’s all up to you! Do the work and do your due diligence.
What Is Bill Ackman’s Eight Investing Principals?
- Simple.
- Predictable.
- Free cash flow regenerative dominant companies with large barriers to entry that earn high returns on capital, with limited exposure to intrinsic risk we can’t control.
- Strong Balance Sheets.
- Don’t need access to capital to survive.
- Excellent Management.
- Good Governance.
- Pershing Square Capital Management.
– Bill Ackman
In conclusion for today’s post, it’s very sensible to believe that if you adhere to and strictly follow these basic principles while investing you will be in great shape. If you go back in time and look at the trades or positions Bill and his team have made that failed to perform, the principles were not followed. And this has left them exposed. So if you look at everything mentioned above and read the Intelligent Investor or even Bill’s friend Seth Klarman’s book “Margin of Safety“. You will be well on your way to outperforming average traders with the right long term horizon.
One final thought: Warren Buffett likes to remind us as Value Investors to Invest into people. This means you must look at the Person or Management your investing into. Their Character, life achievements, and the culture they have built within their company. They must have integrity and honor and leadership. And when we stop to think about all these qualities? They add up! And that is why I have personally always been “ALL-IN with Bill and the Team at Pershing Square.”
Thank you for reading and I do wish you all Success in your steps learning about Investing.
Godspeed
JS