Friday, October 25, 2013

Value Investing in Growth Companies

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Title: Value Investing in Growth Companies
Authors: Rusmin and Victor Chng
Publisher: Candid Creation Publishing (2011)

Earlier this year, I gave myself a challenge to learn more about value investing so as to enhance my level of financial literacy.

This book by Rusmin and Victor encapsulates the authors' personal experiences as value-growth investors and their knowledge on the subject. The examples that were given are relevant to the Singapore context and this makes it easier to relate to the examples. I like the way that the authors explained the differences between a value investor, a growth investor and a value-growth investor.

In this book, the authors discussed the following topics in the various chapters of the book:
1. The Making of a Value-Growth Investor
2. The Secrets of Successful Value-Growth Investors
3. The Jigsaw Puzzle - 4 Pieces to Value-Growth Investing.
4. Business
5. Management
6. Numbers
7. Valuation
8. Screen - Buy - Monitor - Sell
9. Portfolio Management for Growth Companies
10. Avoid Common Mistakes
11. Case Studies of Growth Companies using Jigsaw Puzzle Model

In general, I have found the language accessible. This book is generally easy to read. I may not recommend readers of the book to dive straight into investing after reading just this very book unless they have also done sufficient homework and 'scuttle butting' after reading the book. Nevertheless, this book is a fairly good way to initiate the reader into value-growth investing in the Singapore context.

While writing this reading log, I came across other reviews of this book. There were reviews that were favourable and there were reviews that discussed the limitations of this book. If you are only looking for the one and only ultimate book on value-investing (though I think it is rather limiting to read only one book and expect to learn everything about value-investing) then it helps to read through all the reviews of books on this subject matter before you start the read. For me, I would rather start with reading books that are accessible.

One of the good news for the authors, this book has been selected to be launched worldwide by one of the world's largest book publishers, John Wiley and Sons, Inc. To some extent, it speaks well of the quality of the book! Congratulations to the authors!


EastCoastLife said...

Good that you have started your financial planning. Don't just read, take action too :)

oceanskies79 said...

Thanks Eastcoastlife. I am. :)