Great column in Seeking Alpha today on the author’s theory of stock picking.
It sounds remarkably like IFO’s in general theory, but is more detailed and has a military approach that is foreign to us. Also, he names names of companies and tells why he likes them. This sounds remarkably like a recommendation, which IFO doesn’t do.
To whet your appetite for reading the entire piece, which is well worth your time, here’s a snip: Regarding Sun Tzu’s ‘The Art of War,’ he says,
“There are many lessons to be learned from this text that dates back 2,400 years, which are equally as relevant to financial strategy as they are to military strategy, and are just as relevant today as they were thousands of years ago. One of my favorite lessons from Sun Tzu is “Know yourself and know your enemy, and in a hundred battles you will never be defeated.”
One of IFO’s favorite quotes from this Chinese sage is similar: “Victorious warriors win first, then go to war; while defeated warriors go to war first, and then seek to win.”
My paraphrase: Think your strategy through before you invest in a stock. BTW, this is a good foundation for political action, too, whether trying to elect a candidate or pass/defeat a measure.