In the spirit of the upcoming Value Investing Congress which I plan on attending and reporting from, I found some interesting videos from the previous Congress in 2008 which I wanted to share. I discovered a total of 11 videos on the internet. Most of them are quite interesting, and informative.
I wrote about a brief summary of each video which I will be posting over the next few days, and embedded the video below.
It is important for context to understand that the conference took place in late 2008 at the height of the financial crisis.
Michael Zimmerman’s Prentice Capital had an excellent year
Prentice Capital's Long/ Short Equity Fund was up 26% net for the fourth quarter, bringing its full-year return to 53.6% for 2020. In his fourth-quarter letter to investors, which was reviewed by ValueWalk, Michael Zimmerman said the development of COVID-19 vaccines, continued easy money and clarity in the election drove a risk-on environment. Q4 2020 Read More
Tilson goes on to teach about how to evaluate stocks. The investor should understand the company and industry to better project the future performance of this stock. This is referred to as a circle of competence. The worst mistake an expert investor can make is thinking they know much more then they do about immerging companies. The investor should then evaluate the industry the company serves. Lastly, you will need to research the management department of the company itself. The CEO should have good operational skills and training in capital allocators. With a management team who has a great operational background and knows how to allocate capital, you can expect to earn from your value investment.