James Montier, GMO. James is a member of GMO’s Asset Allocation team. Prior to joining GMO in , he was co-head of Global Strategy at Société Générale. James Montier’s book Value Investing is essential reading for value investors. With markets falling due to fears over China’s economy – the. “”As with his weekly column, James Montier’s Value Investing is a must read for all students of the financial markets. In short order, Montier shreds the ‘efficient.

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Preview — Value Investing by James Montier. Minor frustrations, though, over what is an otherwise insightful and noteworthy book. The third and fourth sections lay out what he thinks value investing is all about. Gavin Rabbolini rated it really liked mohtier Dec 20, Montier makes his arguments with clear insight and spirited good humor, montker then backs them up with cold hard facts.

Books by James Montier. His book “Value Investing” is a digestible and intelligent look at how the principles first laid out in by Benjamin Graham in his book “Security Analysis” are as true now as ever. There are comments posted so far. Omntier contrarian Tenet III: On seeing their stocks falling, the first reaction of many investors will be to sell to get rid of the emotional pain of seeing losses in their portfolio.

Widely regarded as a “perma-bear” by most market observers, Montier makes the case for being bullish last year despite widespread concerns of deflation driven by leverage and credit contraction. Every serious investor should have a copy in his or her library.

Thaler, Kahneman, Shiller, and Tversky. He cites multiple authors of important investing jqmes, quotes from other successful investors, and evidence from historical market data to support his views.

The second section is on behavioral economics. Read Value Investinglive itslessons, jamse prosper. Alex Musicaendless rated it liked it Aug 09, A few other topics were covered, but I didn’t find anything useful or insightful. James shows you why everything you learnt at business school is wrong; how to think properly about valuation and risk; how to avoid the dangers of lnvesting investing; how to be a contrarian; how to short stocks; how to avoid value traps; how to hedge ignorance using cheap insurance.


The problem here is that by the time the uncertainty disappears, many bargains will have too as other investors pile into the stock before you get the chance to. Pavel Gdetibil rated it liked it May 29, Buy this book for yourself, and for anyone you ajmes who cares about their capital! Montier makes his arguments with clear insight and spirited good humor, and then backs them up with cold hard facts. Thaler, Kahneman, Shiller, and Tversky.

8 investing tips from James Montier

The seductive elegance of classical finance theory is powerful, yet value investing requires that we reject both the precepts of modern portfolio theory MPT and pretty much all of its tools and techniques. A nit with the editor more than anybody. A nit with the editor more than anybody.

While the quotes were interesting they were not well integrated into the text and came off as somewhat gratuitous. The final section is largely a collection of thoughts on what to do when the market crashed in Don’t wait for the uncertainty to disappear. Quotes from Value Investing: Montier also, like Thaler and others before him, points out how we are all victims of our own biases and of the decision traps our brain architecture always wants to throw us into.

Balue, Am I Clinically Depressed? For example, he spills quite a bit of ink telling the reader not to forecast. Be unconstrained Tenet V: In this important new book, the highly respected and controversial value investor and behavioural analyst, James Montier explains how value investing is the only tried and tested method of delivering sustainable long-term returns.


So loss aversion plays a pivotal role in dissuading people from becoming value investors. Worse than that, most of his work is jsmes high-level research on value vs. ITs more common for managers to think they know best and surround themselves with people who are happy to reinforce their viewpoint.

I was hoping the author would give some incite on the art history perspective but didn’t.

Enabled Due to its large file valhe, this book may take longer to download. The first section spells out, in laborious detail, that the markets are not always rational.

8 investing tips from James Montier – InvestSMART

Forced selling can create opportunities. In short order, Montier shreds the ‘efficient market hypothesis’, elucidates the pertinence of behavioral finance, and explains the crucial difference between investment process and investment outcomes.

I should also point out that Montier, though sometimes insightful, at other times just doesn’t make sense. Product details File Size: If anything, it makes you want to go passive. Hardcoverpages. I’m a big fan of the author, but this is not a good book. In this important new book, the highly respected andcontroversial value investor and behavioural analyst, James Montierexplains how value investing is the only tried and tested method ofdelivering sustainable long-term returns. Other writers made the same points long ago, and I seriously doubt that anyone who would buy a book with “value investing” in the title takes the idea seriously.

Success often takes time. This places risk management — with risk defined as the probably of loss rather than volatility — at the heart of the investment decision-making process.