Mohnish Pabrais råd till en 12-åring

Nyligen höll Mohnish Pabrai sitt årliga möte med investerare i sin fond. Då fick tydligen den 12-årige sonen till en av dem chansen till en fråga. Följande är ett referat från den stunden.

"Boy: If a person my age is thinking of becoming an investor, what are the main things I need to do to prepare?

Pabrai: How old are you?

Boy: Twelve.

Pabrai: I was two and a half times your age when I got to that question, so you’ve got a solid head start. Well, you’re at the meeting, so this is a good place for you to hang out. Are you having a good time?

Boy: Yes.

Pabrai: Have you been to Omaha? (Pabrai syftar på Berkshires bolagstämma).

Boy: No.

Pabrai: Are you planning to go next year?

Boy: I don’t know.

Pabrai: Make sure your Dad takes you. Do you have a brokerage account?

Boy: Yes.

Pabrai:  How is it invested? Please get this boy a microphone – we’re going to have an extended conversation.

Boy: Wells Fargo…Bank of America…Fairfax…and Berkshire Hathaway.

Pabrai: That’s four stocks. Is that enough? Do you know about the companies?

Boy: Not too much ‘cause my Dad does it, but he taught me about it.

Pabrai: What about buying Apple?  Do you have an iPhone?

Boy: Yes.

Pabrai: Why not buy the things that you use? Like, have you seen the iWatch?

Boy: Yes.

Pabrai: Do you like the iWatch? Are you going to get one?

Boy: Probably not.

Pabrai: What about the iPhone 6?

Boy (checks with Dad): No.
 (Laughter from the audience)

Pabrai: One of the first things I tell people is, if you want to learn about investing, you want to open an account and make real investments, because that’s when it becomes real. I would suggest, for the stocks you buy in the future for your portfolio, you make the decision. You can consult your Dad, but you don’t need to agree with him. If he tells you, “You should buy it,” you should say, “Thanks for the advice, but I’ll make my own decisions.” Is that okay, Dad?

Dad: That’s fine.

Pabrai: Make your own decisions in the future, and before you buy stocks, understand the business. Have discussions with your Dad and others about the economics of the business, which is how much could you buy the whole business for if you had unlimited cash, and then how much does it produce in earnings, in cash. It’s the same economics as a lemonade stand. If you put up a lemonade stand and you’re buying everything, it might cost $25, and if at the end of the day you end up with $60 that’s a good business, but if you end up with $20 that’s not such a good business. So focus on that.  Your Dad can probably direct you towards books that might make sense. One book I would suggest is called The Little Book That Beats the Market.  Have you read that book?

Boy: No.

Pabrai: Is it at home?

Boy (checks with Dad): Yes.

Pabrai: Maybe you could start by reading that book. Joel Greenblatt actually wrote it so a person of your age could understand quite a bit of it. Beyond that I would say to start reading the annual reports, like Wells Fargo, Bank of America, Fairfax…start reading them and when you come to something you don’t understand, ask questions or go to Google and ask questions. You’ve got a significant head start. Just continue that and keep reading. Warren Buffett says that if you were told that you could have any car in the world, but the rule was that you could never change that car, so the car you decide to get today would be the car you would keep for your whole life, you couldn’t sell it, so if that were the case, would you maintain that car well? Like, if there were some repairs that had to be done, you would make those repairs, and you’d keep it in good shape, right? Because it would have to last one hundred years.

Boy: Right.

Pabrai: He says it’s the same thing with your brain. You’ve got one brain, and you don’t get to replace it, and it has to last your whole lifetime. The best thing you can do is keep feeding more and more information and synthesizing more information into that brain. The earlier you start doing it, the greater your advantage. If you start at the age of twelve, it will be of huge value, because from twelve to nineteen is the period of greatest creativity. By the time you go to college it’s all over. So you can really do exceptionally well. Thank you.

Boy: Thank you."

Rekommenderad läsning från Bill Ackman

William A. Ackman, eller Bill Ackman som han oftare kallas, förvaltar Pershing Square Capital. Bill Ackman har förutom som framgångsrik investerare även gjort sig känd för att ta in personer i analysteamet med bakgrund utanför de vanliga finansiella kretsarna.

Han sägs dock ha ett krav, att innan de börjar ska de ha läst följande böcker:

Security Analysis av Benjamin Graham.

The Warren Buffet Way av Robert G. Hagstrom

Confidence Game av Christine Richard

Beating the Street  av Peter Lynch

Quality of Earnings  av Thornton O´Glove

Margin of Safety av Seth Klarman

The Intelligent Investor av Benjamin Graham

One up on Wall Street av Peter Lynch

You Can Be a Stock Market Genius av Joel Greenblatt

The Essays of Warren Buffett av Lawrence A. Cunningham

Fooling Some of the People All of the Time av David Einhorn och Joel Greenblatt


Ovanstående böcker utgör antagligen en mycket solid grund för en person som vill kunna göra framgångsrika investeringar. Naturligtvis under förutsättning att man lyckas anamma en del av det böckerna vill förmedla.

Har du någon favorit bland ovanstående böcker? Finns det någon som du inte alls tycker håller måttet?