Table of Contents

Contents
Acknowledgments
Introduction
WHERE MOST INVESTORS STUMBLE
1. Speculators and Unsuccessful Investors
2. The Nature of Wall Street Works Against Investors
3. The Institutional Performance Derby: The Client Is the Loser
4. Delusions of Value: The Myths and Misconceptions of Junk Bonds in
the 1980s
A VALUE-INVESTMENT PHILOSOPHY
5. Defining Your Investment Goals
6. Value Investing: The Importance of a Margin of Safety
7. At the Root of a Value-Investment Philosophy
8. The Art of Business Valuation
THE VALUE-INVESTMENT PROCESS
9. Investment Research: The Challenge of Finding Attractive Investments
10. Areas of Opportunity for Value Investors: Catalysts, Market
Inefficiencies, and Institutional C
11. Investing in Thrift Conversions
12. Investing in Financially Distressed and Bankrupt Securities
13. Portfolio Management and Trading
14. Investment Alternatives for the Individual Investor
Glossary
Bibliography

248
Table of Contents
Contents 3
Acknowledgments 4
Introduction 7
WHERE MOST INVESTORS STUMBLE 15
1. Speculators and Unsuccessful Investors 16
2. The Nature of Wall Street Works Against
33
Investors
3. The Institutional Performance Derby: The Client
50
Is the Loser
4. Delusions of Value: The Myths and
70
Misconceptions of Junk Bonds in the 1980s
A VALUE-INVESTMENT PHILOSOPHY 97
5. Defining Your Investment Goals 98
6. Value Investing: The Importance of a Margin of
103
Safety
7. At the Root of a Value-Investment Philosophy 120
8. The Art of Business Valuation 132
THE VALUE-INVESTMENT PROCESS 163
9. Investment Research: The Challenge of Finding
164
Attractive Investments
10. Areas of Opportunity for Value Investors:
175
Catalysts, Market Inefficiencies, and Institutional C
11. Investing in Thrift Conversions 194
12. Investing in Financially Distressed and
200
Bankrupt Securities
13. Portfolio Management and Trading 218
14. Investment Alternatives for the Individual 231

249
Investor 231
Glossary 238
Bibliography 247

250