How You Can Be Like Buffett

In every other issue of my investment newsletter, The Validea Hot List, I look in detail at one of the computerized guru models I run on Validea.com. In this week’s issue, I outlined my Patient Investor strategy, inspired by the approach that Warren Buffett has used to become one of history’s greatest investors. Below you will find an excerpt from the newsletter along with a handful of top-scoring stock ideas based on the Buffett investment strategy. Taken from the May 29, 2009 issue of The Validea Hot List Guru Spotlight: Warren Buffett With his humble mid-west beginnings, plainspoken wisdom and […]

Roubini Offers Good News (Sort Of)

Nouriel Roubini — the economist who predicted the economic crisis and who has been dubbed “Dr. Doom” for his dire predictions — now thinks the global recession will end later this year, significantly earlier than he has previously predicted. “We are not yet at the bottom of the U.S. and the global recession,” Roubini told Reuters. “The contraction is still occurring and the recession is going to be over more towards the end of the year rather than in the middle of the year” as many have predicted. That might not sound very positive, but keep in mind that two […]

Zweig: WWGD? (What Would Graham Do?)

Writing sixty years to the day after Benjamin Graham’s classic The Intelligent Investor was published, Jason Zweig says that Graham would be cautious amid a market like this one. “Today the market seems to be in just the kind of mood that would have worried Mr. Graham: a jittery optimism, an insecure and almost desperate need to believe that the worst is over,” writes Zweig, whose commentary accompanied the 2003 version of Graham’s famous book. “[Graham] almost invariably read the enthusiasm of others as a yellow caution light, and he took their misery as a sign of hope.” Today, with […]

Yale’s Swensen on Asset Allocation — and Why to Avoid Mutual Funds

On WealthTrack with Consuelo Mack, Yale endowment guru David Swensen discusses his thoughts on how individual investors should structure their portfolios, where the markets are headed, and why you should steer clear of mutual funds. According to Swensen, who as manager of Yale’s endowment has grown the university’s portfolio from $1 billion to about $17 billion during his 24-year tenure, says that long-term individual investors should focus on equities — especially now. “With a long time horizon you should have an equity orientation, because over longer periods of time, equities are going to deliver better results,” he says. “If they […]

Fisher, Others See Big Value in Russia

Kenneth Fisher and two other major money managers are making aggressive stock plays in Russia, where turmoil and problems persist but valuations are at the lowest levels of the 50 major markets, Bloomberg reports. “Russia in some ways today is just a levered play on the world,” said Fisher, who thinks we are in the early part of a global rally. “Early in a bull market, Russia is going to run more.” A big reason is that Russian stocks fell disproportionately last year, with the RTS Index plunging 72 percent in 2008, according to Bloomberg. The RTS Index fell as […]