再说对价值投资的一些基本理解

我想再简单地把我目前对投资的基本理解写一下： 1.买股票就是买公司。所以同样价钱下买的公司是不是上市公司并没有区别，上市只是给出了个退出的方便而已。 2.公司未来现金流的折现就是公司的内在价值。买股票应该在公司股价低于其内在价值时买。至于应该是40%还是50%（安全边际）还是其他数字则完全由投资人…

Source: http://nteswjq.blog.163.com/blog/static/126998120104253329625/

More on some basic understanding of value investing

> By Duan Yongping · his NetEase blog (nteswjq.blog.163.com, now closed; read from web archives) · 2010-05-25 · [Original link](http://nteswjq.blog.163.com/blog/static/126998120104253329625/) ([archived](https://web.archive.org/web/20100528213446/http://nteswjq.blog.163.com:80/blog/static/126998120104253329625/))

I want to write down again, briefly, my current basic understanding of investing:

1. Buying a stock is buying a company. So at the same price, whether the company you buy is listed or not makes no difference; listing only provides a convenient exit.

2. The discounted value of a company's future cash flows is its intrinsic value. You should buy a stock when the price is below its intrinsic value. Whether that should be 40% or 50% (margin of safety) or some other number is decided entirely by the investor's own opportunity cost.

3. Discounting future cash flows is not an algorithm but a way of thinking; don't try to work it out with a calculator. Of course, there's nothing wrong with doing a calculation with a calculator either.

4. Not doing what you don't understand (circle of competence) is a necessary (not sufficient) precondition for judging a company's intrinsic value.

5. The "moat" is an important (not the only) means of judging a company's intrinsic value.

6. Corporate culture is an important part of the "moat". It's hard to imagine a company without a strong corporate culture having a very wide "moat".

Facing the market's daily fluctuations "rationally", and carefully checking each of your reasons for investing and how they change, is very important.

My understanding of investing seems to be just this simple. But this "simple" isn't actually that simple; in fact this simple is actually very hard.

Here let me recommend Poor Charlie's Almanack once more; Charlie has good ways of dealing with things that are "actually very hard".

For people just beginning to learn about value investing, Li Lu's preface is well worth reading carefully several times.

I hope you won't think this book is expensive, because it's worth it. I bought it at the start of this month when I went to LA for Charlie's shareholder meeting: 110 dollars a copy, and I bought two (copies without Charlie's signature are 60 dollars). I think this may be the best investment of my life. (Actually I bought two copies of the original two years ago and never read them, so it really was a bit expensive.)