Continuing the path of becoming a value investor I have read a couple of books lately on the subject. I feel that I’ve got to a point where these books are a little repetitive, I feel that now I need to put this knowledge into practice.

One of the books I read was the Dhandho Investor written by Mohnish Pabrai where he explains his investment low-risk value method to high returns. Mhonish started first as an entrepreneur and later got into the investment business, and has replicated Warren Buffet’s investment methodologies and practices. He starts the book by explaining how the Patel’s in the US naturally use this investment method, and how they have applied it since arriving to the US. Most of the motels and hotels in the US are owned by Patel’s who come from the Indian State of Gujarat. They are hard workers and invest in opportunities at the right moment, they are patient and constantly looking for new opportunities, but get into the investment at the right moment.

I liked Mohnish comment about the stock market, he mentioned that while private businesses can offer higher returns in general than the stock market, it is a great opportunity to have platforms that allow us to purchase public stocks from a great range of mature companies.

I really enjoyed the book, it was a little repetitive from other value investing books, but with a slightly different approach.