The purpose of these blogs is to give private investors basic information about shares selection and other related topics. Contrary to the impression that investment books of the "how to make a million" variety and those written in "Noddy and Big Ears" style give, there is no guaranteed or easy way to make money by investing in shares.
I introduce the topic of each blog with my thoughts and then give numerous quotes on the topic from investors who have the best long term, public track records, and also from highly regarded academics regarding the topic.
In selecting a share to buy, the investor should perform three key evaluations: the economics of the business, the quality of the management and the valuation. All of these are very difficult to do but, the more research you do, the more you increase your probability of not losing money on bad investments. I have described some of the considerations when doing each of these evaluations in the next three blogs (click on the links in the "blog archives" in November 2007 on the right).
I have also blogged on various topics that would interest private investors. These include things like charting, index trackers, contrarian investing, etc (click on the links in the "blog archives" in November 2007 on the right).
Finally, most private investors who are investing for the long term can avoid the big risks, of trying to outperform the market, by investing their savings in index trackers (see http://mythoughts-mohan.blogspot.com/2007/11/index-trackers.html) and forgetting about them till they need the money when they retire. The only caveat is not to invest when the market is in bubble mode (see http://mythoughts-mohan.blogspot.com/2007/11/bubbles.html). They would also thereby avoid spending the huge amounts of time required to investigate individual shares and can use the time saved more productively to build their careers and enjoy whatever else they enjoy.
Introduction
I have since put all these blogs in a web site:
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