Saturday, January 19, 2013

what i read today: trading like warren buffett (19 jan 2013)

TRADE LIKE WARREN BUFFET
Forget the media generated hype about the investment skill of Warren Buffet. The first glimpse of Buffet trading strategies was provided in Buffetology. This book explores these ideas further. Buffet built his money, on which he can now take a more relaxed approached to investing, by trading. Success came from information arbitrage techniques, short term trading, and what he calls ‘work outs.’ This included spin offs and other specialised short term situations. Many were based on information arbitrage – he knew some things before they seeped down to the broader general public. Remember, this was before the internet, and a search to find comparative ROE was done by hand, not by on line screening. 
This is a primer on canny trading. When you have a large fortune you can invest like Warren Buffet. When you are starting out, there are advantages in learning to trade like Warren Buffet, Jessie Livermore, and others.  
 http://www.guppytraders.com/b279.shtml