Common Stocks and Common Sense : The Strategies, Analyses, Decisions, and Emotions of a Particularly Successful Value Investor

Ed Wachenheim is one the most well-respected investors on Wall Street as founder, chairman and CEO of Greenhaven Associates for the past 28 years. Between 1990 and 2014, a typical portfolio of stocks that he managed enjoyed an average annual return of 19.9%, achieved with relatively conservative stocks and without the use of financial leverage. Wachenheim now wishes to share his investment strategies and experiences in an educational book on common stock investing so that others can benefit from his know-how. Wachenheim will teach the reader about common stock investing by writing about and analyzing actual investments that he, and other successful investors, have made. The core of the book is eleven chapters that each describe, in detail, an investment made by Greenhaven over the years, spanning the entire investment process. Wachenheim will start with a chapter that describes his basic investment strategy before delving into specific cases, covering topics like investing creatively and risk reduction. Deep insight and candid discussion from one of Wall Street's best investors

Common Stocks and Common Sense provides detailed insight into common stock investing, using a case-study approach based on real-world investments. Author Edgar Wachenheim is the 28-year CEO of Greenhaven Associates, boasting an average annual portfolio comparable to Warren Buffet's. In this book, he shares his knowledge and experiences by providing detailed analyses of actual investments made by himself and other investors. The discussion covers the entire investment process, including the softer, human side, with candid insight into the joys and frustrations, intensities and pressures, and risks and uncertainties. The unique emphasis on behavioral economics and real-world cases set this book apart from the herd--but it's Wachenheim himself and his deeply-examined perspective that elevates the book beyond a mere investing guide.

Between 1990 and 2014, a typical portfolio managed by Wachenheim enjoyed an average annual return in excess of 18%, achieved using relatively conservative stocks and no financial leverage. As a proponent of evidence and example, his analysis of real cases serve as a valuable education for anyone looking to improve their own investment practices.

• Understand investment through the lens of a Wall Street leader
• Dig into the details of real-world common stock investing
• Learn how to invest creatively and minimize risk
• Go beyond theory to study strategy on a case-by-case basis

Investment principles and strategies are easy to find--entire libraries have been written about theories and methods and what 'should' happen. But this book goes beyond the typical guide to show you how these ideas are applied in the real world--and what actually happened. Investors seeking real insight, real expertise, and a proven track record will find Common Stocks and Common Sense a uniquely useful resource.

Deep insight and candid discussion from one of Wall Street's best investors Common Stocks and Common Sense provides detailed insight into common stock investing, using a case-study approach based on real-world investments. Author Edgar Wachenheim is the 28-year CEO of Greenhaven Associates, boasting an average annual portfolio comparable to Warren Buffet's. In this book, he shares his knowledge and experiences by providing detailed analyses of actual investments made by himself and other investors. The discussion covers the entire investment process, including the softer, human side, with candid insight into the joys and frustrations, intensities and pressures, and risks and uncertainties. The unique emphasis on behavioral economics and real-world cases set this book apart from the herd but it's Wachenheim himself and his deeply-examined perspective that elevates the book beyond a mere investing guide. Between 1990 and 2014, a typical portfolio managed by Wachenheim enjoyed an average annual return in excess of 18%, achieved using relatively conservative stocks and no financial leverage. As a proponent of evidence and example, his analysis of real cases serve as a valuable education for anyone looking to improve their own investment practices. Understand investment through the lens of a Wall Street leader. Dig into the details of real-world common stock investing. Learn how to invest creatively and minimize risk. Go beyond theory to study strategy on a case-by-case basis Investment principles and strategies are easy to find entire libraries have been written about theories and methods and what 'should' happen. But this book goes beyond the typical guide to show you how these ideas are applied in the real world and what actually happened. Investors seeking real insight, real expertise, and a proven track record will find Common Stocks and Common Sense a uniquely useful resource.-- Provided by Publisher Annotation Deep insight and candid discussion from one of Wall Streets best investors Common Stocks and Common Sense provides detailed insight into common stock investing, using a casestudy approach based on realworld investments. Author Edgar Wachenheim is the 28year CEO of Greenhaven Associates, boasting an average annual portfolio comparable to Warren Buffets. In this book, he shares his knowledge and experiences by providing detailed analyses of actual investments made by himself and other investors. The discussion covers the entire investment process, including the softer, human side, with candid insight into the joys and frustrations, intensities and pressures, and risks and uncertainties. The unique emphasis on behavioral economics and realworld cases set this book apart from the herd but its Wachenheim himself and his deeplyexamined perspective that elevates the book beyond a mere investing guide. Between 1990 and 2014, a typical portfolio managed by Wachenheim enjoyed an average annual return in excess of 18%, achieved using relatively conservative stocks and no financial leverage. As a proponent of evidence and example, his analysis of real cases serve as a valuable education for anyone looking to improve their own investment practices. Understand investment through the lens of a Wall Street leader Dig into the details of realworld common stock investing Learn how to invest creatively and minimize risk Go beyond theory to study strategy on a casebycase basis Investment principles and strategies are easy to find entire libraries have been written about theories and methods and what should happen. But this book goes beyond the typical guide to show you how these ideas are applied in the real world and what actually happened. Investors seeking real insight, real expertise, and a proven track record will find Common Stocks and Common Sense a uniquely useful resource Common Stocks and Common Sense Contents Introduction 1 My Approach to Investing Being a Contrarian Having Confidence Controlling Emotions Notes 2 The Brief Story of My Life 1. Willingness and Ability to Be an Independent Thinker and a Contrarian 2. Motivation to Succeed Financially 3. Education 4. Analytical Skills 5. Confidence 6. Pragmatic Goals and Ambition 7. Control of Emotions 8. Fun Notes 3 IBM Notes 4 Interstate Bakeries 5 U.S. Home Corporation 6 Centex Corporation Notes 7 Union Pacific (Railroad) Notes 8 American International Group (AIG) Notes 9 Lowe’s Notes 10 Whirlpool Corporation Note 11 Boeing 12 Southwest Airlines 13 Goldman Sachs Notes 14 A Letter to Jack Elgart Notes About the Author Index EULA