As originally conceived by the legendary Benjamin Graham, traditional value investing involves purchasing relatively stable stocks and companies at a percentage below their intrinsic value. But this approach contains many hidden, U.S.-centric assumptions that simply don’t work well in today’s high-growth emerging markets. In this book, leading global value investor Jeffrey Towson extends and modernizes value investing, helping you apply its core principles while you access tremendous opportunities available in today’s fastest-growing markets.
Towson introduces the powerful Value Point system that grows out of his experience on the elite investing team selected by Prince Alwaleed, the "Arabian Warren Buffett." While retaining Graham’s relentless focus on price and quality, he shows how to integrate three crucial additional forms of value into your stock assessments: the value of political access in a government-infused investment world, the value of reputation in a world of colliding markets, actors and biases, and the value of capabilities in a multi-local world.
Building on these techniques, Towson presents a complete investment playbook for the next five years. Next, he shows how to invest for the next twenty years—successfully navigating the titanic market collisions that will batter investors who aren’t prepared for them.
Table of Contents
About the Author xvi
Chapter 1: Introduction 1
Chapter 2: Rethinking Value in a Global Age 17
Chapter 3: Value Point 45
Chapter 4: Investing in Politicized Markets 67
Chapter 5: How Political Access Adds Value 87
Chapter 6: The World Is Biased 107
Chapter 7: The Profits and Perils of Reputation 125
Chapter 8: Capability Deals in Theory 145
Chapter 9: Capability Deals in Practice 169
Chapter 10: Global Tycoons, Value Tanks, and Other “Go for the Jugular” Strategies 189
Chapter 11: It’s Still About Price and Quality 211
Chapter 12: A Global Investment Playbook 235
Chapter 13: After Markets Collide: The Next Twenty Years 265