Citations de Joel Greenblatt

Toutes les Citations de Joel Greenblatt

1. "Buy good companies at bargain prices. Rank by earnings yield and return on capital, then buy the top ranked."

   Source: The Little Book That Beats the Market (2005)

   High returns on capital plus low price equals value.

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2. "Use a systematic, rules-based approach to remove emotion from investing. Stick to the system."

   Source: The Little Book That Beats the Market (2005)

   Rules remove emotion and force discipline.

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3. "Spinoffs, mergers, and restructurings create opportunities where value is mispriced."

   Source: You Can Be a Stock Market Genius (1997)

   Corporate events create temporary mispricings.

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4. "Complex strategies rarely beat simple ones. The best investment approach is one you can understand and stick to."

   Source: The Little Book That Beats the Market (2005)

   Simplicity beats complexity in investing.

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5. "Earnings yield (EBIT/Enterprise Value) is a better measure of cheapness than P/E ratio."

   Source: The Little Book That Beats the Market (2005)

   Earnings yield is superior to P/E ratio.

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6. "Companies that earn high returns on capital are usually better businesses. Quality matters."

   Source: The Little Book That Beats the Market (2005)

   High return on capital signals business quality.

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7. "Hold 20-30 positions to reduce single-stock risk while maintaining concentration in best ideas."

   Source: The Little Book That Beats the Market (2005)

   Hold 20-30 stocks for optimal diversification.

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8. "Rebalance your portfolio annually based on the formula rankings. Dont trade too frequently."

   Source: The Little Book That Beats the Market (2005)

   Rebalance annually based on new rankings.

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9. "The magic formula doesnt work every year. You need a 3-5 year horizon for it to work."

   Source: The Little Book That Beats the Market (2005)

   The formula needs 3-5 years to prove itself.

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10. "Spinoffs are often mispriced because institutional investors are forced sellers. Study them carefully."

    Source: You Can Be a Stock Market Genius (1997)

    Spinoffs are sold by forced sellers, not value.

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11. "Never overpay for a security, no matter how exciting the story. The price you pay determines your return. Discipline in valuation is the foundation of investment success."

    Source: The Little Book That Beats the Market (2005)

    Discipline in valuation determines investment success.

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12. "Always estimate the intrinsic value of a business before investing. Compare price to value, not price to past price. The gap between price and value is where profits are made."

    Source: The Little Book That Beats the Market (2005)

    Compare price to intrinsic value, not to past prices.

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13. "Invest in businesses with durable competitive advantages, strong cash flows, and management integrity. Quality businesses compound wealth over time and reduce downside risk."

    Source: The Little Book That Beats the Market (2005)

    Quality businesses compound wealth and reduce risk.

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14. "Before investing, identify the moat — the sustainable competitive advantage that protects the business from competitors. No moat means no long-term edge."

    Source: The Little Book That Beats the Market (2005)

    Identify sustainable competitive moats before investing.

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15. "Not all earnings are equal. Look for recurring, cash-backed earnings rather than accounting profits. High-quality earnings are predictable, sustainable, and convertible to free cash flow."

    Source: The Little Book That Beats the Market (2005)

    Evaluate earnings quality, not just quantity.

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16. "The most successful investors stay within their circle of competence. Know what you understand well and resist the temptation to venture outside it."

    Source: The Little Book That Beats the Market (2005)

    Stay within your circle of competence.

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17. "Surface-level knowledge is dangerous in investing. Develop deep expertise in your areas of focus. True understanding means knowing what could go wrong."

    Source: The Little Book That Beats the Market (2005)

    Develop deep expertise, not surface knowledge.

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18. "Expand your circle of competence gradually over time. Each new area of expertise adds potential opportunities, but only if mastered thoroughly."

    Source: The Little Book That Beats the Market (2005)

    Expand expertise gradually, one area at a time.

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19. "Markets are driven by fear and greed. The disciplined investor exploits these emotions rather than being controlled by them. Emotional control is the key competitive advantage."

    Source: The Little Book That Beats the Market (2005)

    Exploit market emotions rather than being controlled by them.

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20. "Understanding crowd psychology is essential. When everyone agrees, the opportunity has usually passed. The best time to act is when the crowd is most fearful or most confident."

    Source: The Little Book That Beats the Market (2005)

    Act when the crowd is at emotional extremes.

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21. "The best investments often feel uncomfortable because they go against popular opinion. If everyone loves a stock, it's probably overpriced. If everyone hates it, investigate."

    Source: The Little Book That Beats the Market (2005)

    Good investments often feel uncomfortable.

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22. "Before considering how much you can make, consider how much you can lose. Risk management is not about avoiding risk entirely, but about understanding and controlling it."

    Source: The Little Book That Beats the Market (2005)

    Consider the downside before the upside.

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23. "The size of your position should reflect your conviction and the risk involved. Never bet so large that a single mistake can wipe out your portfolio."

    Source: The Little Book That Beats the Market (2005)

    Size positions based on conviction and risk.

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24. "In a world obsessed with quarterly results, patience is the ultimate competitive advantage. Great investments often take years to play out fully."

    Source: The Little Book That Beats the Market (2005)

    Patience is the ultimate competitive advantage.

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25. "The cardinal rule of investing: buy only when the price is significantly below your conservative estimate of intrinsic value. This builds in protection against error."

    Source: The Little Book That Beats the Market (2005)

    Buy only at prices well below intrinsic value.

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26. "The stock market is a no-called-strike game. You don't have to swing at every pitch. Wait for the fat pitch — the opportunity that offers exceptional risk-reward."

    Source: The Little Book That Beats the Market (2005)

    Wait for exceptional risk-reward opportunities.

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27. "Have clear, pre-defined sell criteria. Sell when: your thesis is broken, valuation is fully realized, or a significantly better opportunity appears."

    Source: The Little Book That Beats the Market (2005)

    Follow pre-defined sell criteria without emotion.

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28. "Regularly review whether your original reasons for owning a stock still hold. If the facts change, change your mind. Holding a broken thesis is the costliest mistake."

    Source: The Little Book That Beats the Market (2005)

    Regularly challenge your original investment thesis.

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29. "After every sell, review the outcome. Did you sell too early, too late, or at the right time? Post-mortems on sell decisions improve future judgment."

    Source: The Little Book That Beats the Market (2005)

    Post-mortem every sell decision to improve.

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30. "Draw insights from multiple disciplines — psychology, history, mathematics, and science — to build a lattice of mental models for better investment decisions."

    Source: The Little Book That Beats the Market (2005)

    Use insights from multiple disciplines for better decisions.

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31. "Think in probabilities, not certainties. Every investment has a range of possible outcomes. Weight your decisions by the expected value of each scenario."

    Source: The Little Book That Beats the Market (2005)

    Think in probabilities, not certainties.

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32. "Instead of asking how to succeed, ask how to avoid failure. Inverting problems often reveals insights that forward thinking misses."

    Source: The Little Book That Beats the Market (2005)

    Invert problems to find insights forward thinking misses.

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33. "A clear investment philosophy provides an anchor in turbulent times. Know what you believe, why you believe it, and stick to it when tested."

    Source: The Little Book That Beats the Market (2005)

    A clear philosophy anchors you in turbulent times.

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34. "Focus on process, not outcomes. A good process can produce bad outcomes in the short run, but will generate superior results over time."

    Source: The Little Book That Beats the Market (2005)

    Good process outperforms lucky outcomes over time.

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35. "Develop your own investment philosophy through study and experience. Copying others without understanding why leads to confusion when strategies are tested."

    Source: The Little Book That Beats the Market (2005)

    Develop your own philosophy through study and experience.

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36. "The principles that make you a great investor — patience, discipline, humility, and continuous learning — are the same principles that lead to a great life."

    Source: The Little Book That Beats the Market (2005)

    Investment principles apply to life too.

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37. "The best investors never stop learning. Read voraciously, study history, learn from mistakes, and stay curious about the world. Knowledge compounds like interest."

    Source: The Little Book That Beats the Market (2005)

    Knowledge compounds like interest for investors.

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38. "Reputation takes a lifetime to build and moments to destroy. In investing and in life, integrity is the most valuable asset you can possess."

    Source: The Little Book That Beats the Market (2005)

    Integrity is the most valuable asset.

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39. "The ideal investment is a high-quality business purchased at a fair price. Quality compounds wealth; fair prices protect capital."

    Source: The Little Book That Beats the Market (2005)

    Seek quality businesses at fair prices.

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40. "Never invest in a business you cannot explain in simple terms. If you can't describe why a company is valuable, you don't understand it well enough to own it."

    Source: The Little Book That Beats the Market (2005)

    Only invest in what you can explain simply.

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41. "Look for investments where a specific catalyst will unlock value. Without a catalyst, even cheap stocks can remain undervalued indefinitely."

    Source: The Little Book That Beats the Market (2005)

    Identify specific catalysts that will unlock value.

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42. "The greatest enemy of the investor is himself. Fear, greed, regret, and pride cause more losses than any economic event. Master your emotions to master the market."

    Source: The Little Book That Beats the Market (2005)

    Master your emotions to master the market.

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43. "Know the common behavioral biases that trap investors: anchoring, confirmation bias, loss aversion, and herding. Awareness is the first step to prevention."

    Source: The Little Book That Beats the Market (2005)

    Know your behavioral biases to avoid them.

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44. "Think independently. The crowd is often wrong at extremes, and following popular opinion is a reliable path to mediocre returns. Form your own informed views."

    Source: The Little Book That Beats the Market (2005)

    Think independently from the crowd.

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45. "The market exists to serve you, not to guide you. Use market prices to your advantage — buy when the market offers bargains and sell when it offers premiums."

    Source: The Little Book That Beats the Market (2005)

    Use the market as your servant, not your guide.

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46. "Markets move in cycles driven by human emotion. Understanding where you are in the cycle helps you prepare for what comes next and position accordingly."

    Source: The Little Book That Beats the Market (2005)

    Understand where you are in the market cycle.

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47. "In the short run, the market is a voting machine; in the long run, it's a weighing machine. Prices can diverge wildly from value, but eventually converge."

    Source: The Little Book That Beats the Market (2005)

    Prices diverge from value short-term but converge long-term.

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48. "A systematic approach to investing removes emotion and ensures consistency. Document your process, follow your rules, and review regularly."

    Source: The Little Book That Beats the Market (2005)

    A systematic approach ensures consistent investing.

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