About the difference between financial and philosophical value investing
Observation, first drafted on Sept. 20, 2007
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Now, we do not want to pretend to have studied the works of Prof. Graham, Dodd and others. It still seems to us
though, as if there is a sizeable difference between the Buffett style of value investing and the philosophical
investment appreciation that we are exercising here. For too much does it appear to us, as if financial value
investing is focused on balance sheet analysis primarily, that we should now not take this opportunity to
differentiate us from that.
No, if we want to be honest here, we have to accept, that our idea of a “good company” is much more based on
an general interpretation on the state of the world, than this is the case in a financial value investment. And so we
do allow ourselves to be much more numbers-shy than a financial value investor would be. For too much are we
convinced that the identification of value in this interdependent global market place requires a determined world
view reconstruction, that we could now permit us to approach this turbo-dynamic environment by simply looking
into rear-view numbers.
No, no, if we want to be transparent here, we have to admit, that our idea of reason is decidedly more daring,
personal and long-term, than this is the case in financial value investing. And so we urge our reader to not be shy
in searching for their own philosophical truth. For too much do we trust that one’s income growth depends
primarily on the depth of one’s self-analysis, that we should not recommend him now to embark on this personal
feasibility study.
Given therefore, that we believe that true value can only be found by immersing oneself into what the categoric
imperative means in our time, we invite the financial value investors, to go beyond the cash-flow priority that they
are following now. For too much do we all depend on their philosophical contribution that we could permit us now
not have asked for this.
Observation, first drafted on Sept. 20, 2007
----------------------------------------------------------------------------------------------------------------
Now, we do not want to pretend to have studied the works of Prof. Graham, Dodd and others. It still seems to us
though, as if there is a sizeable difference between the Buffett style of value investing and the philosophical
investment appreciation that we are exercising here. For too much does it appear to us, as if financial value
investing is focused on balance sheet analysis primarily, that we should now not take this opportunity to
differentiate us from that.
No, if we want to be honest here, we have to accept, that our idea of a “good company” is much more based on
an general interpretation on the state of the world, than this is the case in a financial value investment. And so we
do allow ourselves to be much more numbers-shy than a financial value investor would be. For too much are we
convinced that the identification of value in this interdependent global market place requires a determined world
view reconstruction, that we could now permit us to approach this turbo-dynamic environment by simply looking
into rear-view numbers.
No, no, if we want to be transparent here, we have to admit, that our idea of reason is decidedly more daring,
personal and long-term, than this is the case in financial value investing. And so we urge our reader to not be shy
in searching for their own philosophical truth. For too much do we trust that one’s income growth depends
primarily on the depth of one’s self-analysis, that we should not recommend him now to embark on this personal
feasibility study.
Given therefore, that we believe that true value can only be found by immersing oneself into what the categoric
imperative means in our time, we invite the financial value investors, to go beyond the cash-flow priority that they
are following now. For too much do we all depend on their philosophical contribution that we could permit us now
not have asked for this.
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