Book Summary: The Dhandho Investor

Mohnish PabraiI won the June Contest at Value Investing News. The prize is a copy of Mohnish Pabrai's new book - "The Dhandho InvestorThe Low-Risk Value Method to High Returns". I haven't received the book yet, but I can't wait to read it.

Björn Kijl posts his summary of The Dhandho Investor. It's a good summary. You can read it on GuruFocus or get a pdf version.

I highlight 9 core principles of Dhandho framework

  • Principle # 1: Focus on buying an existing business
  • Principle # 2: Invest in simple businesses
  • Principle # 3: Invest in distressed businesses
  • Principle # 4: Invest in business with durable moats
  • Principle # 5: Few bets, big bets, and infrequent bets
  • Principle # 6: Fixate on arbitrage
  • Principle # 7: Margin of safety – always
  • Principle # 8: Invest in low-risk, high-uncertainty businesses
  • Principle # 9: Invest in the copycats rather than the innovators

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