Margin-of-Safety

Contents
Acknowledgments ix
Introduction xiii
I Where Most Investors Stumble 1
1 Speculators and Unsuccessful Investors 3
2 The Nature of Wall Street Works Against Investors 19
3 The Institutional Performance Derby: The Client Is the Loser 35
4 Delusions of Value: The Myths and Misconceptions of Junk Bonds in the 1980s 55
II A Value-Investment Philosophy 79
5 Defining Your Investment Goals 81
6 Value Investing: The Importance of a Margin of Safety 87
7 At the Root of a Value-Investment Philosophy 105
8 The Art of Business Valuation 118
III The Value-Investment Process 149
9 Investment Research: The Challenge of Finding Attractive Investments 151
10 Areas of Opportunity for Value Investors: Catalysts, Market Inefficiencies, and Institutional Constraints 162
11 Investing in Thrift Conversions 182
12 Investing in Financially Distressed and Bankrupt Securities 189
13 Portfolio Management and Trading 209
14 Investment Alternatives for the Individual Investor 222
Glossary 229
Bibliography 241
Index 243