Guy Spier's Book 'The Education of a Value Investor'
This week, I read the book called 'The Education of a Value Investor'. I was blown by the author, Guy Spier's honesty to tell his experience to the readers. I am going to recommend this book to a friend, who is concerned about his career route and is about to enroll undergraduate course. This book more or less answer most pressing questions in any university graduates.
In next eight paragraphs, I want to relate my experience in connection to some chapter of the book.
Chapter 1 is what Spier describes his worse decision to work for his first employer after his graduation from Harvard Business School. As for myself, I would like to be in investment management industry but there isn't an opportunity for me in Singapore. Nevertheless, I purposely choose unconventional career route to gain interesting insights, which may be relevant to my investment analysis (I do this after work) - Yes, I did gained some.
Chapter 3 describes how the reputation of his former employer denied his chances to work with the prospective employers despite of stellar education. This chapter reaffirm my belief that reputation is important to maintain. When I first read the quote of Buffett - 'It takes 20 years to build a reputation and five minutes to ruin it." -, I decide to develop reputation of what I am honestly good at so as anyone knows what I can do.
Chapter 4 is Spier's view on the need to do like those rich hedge fund managers and his meeting with Bill Ackman. In fact, I am glad for Spier that he didn't continue to maintain an expensive investment operation. I was intrigued by the fact that Spier indirectly gave an investment opportunity to Bill Ackman. In particular, I was surprised that Spier, Ackman, and Tilson took Acela train to meet CEO of a stock. If I am not wrong, it is Amtrak train, which I often took for the first half of my trip to USA in early 2014. That defies my thought that hedge fund managers, managing clients' millions dollars, takes short plane flight to meet top managements.
Chapter 5 is about Spier's learning from masters. To me, the interesting fact is that Charlie Munger host a private dinner at Omaha Marriott. This is something I didn't know. When I came to Omaha for the first time in late April 2014, the first thing I do is to study why Omaha is a good place for Warren Buffett. Yes, I did get the answer after seeing most of Omaha area for almost 1 week.
Chapter 6 is about his direct face-to-face meeting with Warren Buffett. Spier shared that he woke up at 5.30am so as to get seat on the front of the room. He remarked that there is difference between front and back of the room. This convince me to make another trip to Omaha to find out the difference - I am planning for one in 2016. In actual, I arrived CenturyLink Centre at 6.30am in 2014.
Beside that, it is interesting to know that Buffett showed his appointment diary, which was mostly empty to Spier and Pabari. This occur to me that time management and proper schedule enable a person to perform the job task effectively - that is what i am trying to tell my colleague who couldn't perform the job scopes within the expectation.
Chapter 7 is about the financial crisis in 2008. Spier does not trust Wall Street's financial products. I am equally skeptical to any financial products offered by the banks and 3rd party insurance agents in Singapore. This Chapter 7 reinforces my opinion about Wall Street and money-hungry banks.
Chapter 9 is about Spier's version of tap dance. I am surprised that Pabari and Spier bought BYD stock. Up to now, I still have not figured out how BYD will handle huge debt. Probably, I have not learnt enough about car and battery industry.
Chapter 11 is about Spier's version of checklist. His case study one is very insightful for me - I am grateful for that.
On his bibliography and guide to further reading at the last few pages of the book, there are old books, listed by him, which I wanted to read before I read his book. I wonder if i can find them at library in USA and read them in few days.
The other chapters, which I did not mention here, are equally interesting. I praise Guy Spier's honesty and willingness to share his embarrassing experiences.
Warren Buffet said as follows: "It's better to hang out with people better than you. Pick out associates whose behavior is better than yours and you". Up to now, I am not sure if I have friends who I find them smarter than me. Rather than desperately making new smarter friends, I decide to take my time to read books and blogs written by smarter people. At the same time, I try to have new friends, who are smarter than me and yet are honest.
In next eight paragraphs, I want to relate my experience in connection to some chapter of the book.
Chapter 1 is what Spier describes his worse decision to work for his first employer after his graduation from Harvard Business School. As for myself, I would like to be in investment management industry but there isn't an opportunity for me in Singapore. Nevertheless, I purposely choose unconventional career route to gain interesting insights, which may be relevant to my investment analysis (I do this after work) - Yes, I did gained some.
Chapter 3 describes how the reputation of his former employer denied his chances to work with the prospective employers despite of stellar education. This chapter reaffirm my belief that reputation is important to maintain. When I first read the quote of Buffett - 'It takes 20 years to build a reputation and five minutes to ruin it." -, I decide to develop reputation of what I am honestly good at so as anyone knows what I can do.
Chapter 4 is Spier's view on the need to do like those rich hedge fund managers and his meeting with Bill Ackman. In fact, I am glad for Spier that he didn't continue to maintain an expensive investment operation. I was intrigued by the fact that Spier indirectly gave an investment opportunity to Bill Ackman. In particular, I was surprised that Spier, Ackman, and Tilson took Acela train to meet CEO of a stock. If I am not wrong, it is Amtrak train, which I often took for the first half of my trip to USA in early 2014. That defies my thought that hedge fund managers, managing clients' millions dollars, takes short plane flight to meet top managements.
Chapter 5 is about Spier's learning from masters. To me, the interesting fact is that Charlie Munger host a private dinner at Omaha Marriott. This is something I didn't know. When I came to Omaha for the first time in late April 2014, the first thing I do is to study why Omaha is a good place for Warren Buffett. Yes, I did get the answer after seeing most of Omaha area for almost 1 week.
Chapter 6 is about his direct face-to-face meeting with Warren Buffett. Spier shared that he woke up at 5.30am so as to get seat on the front of the room. He remarked that there is difference between front and back of the room. This convince me to make another trip to Omaha to find out the difference - I am planning for one in 2016. In actual, I arrived CenturyLink Centre at 6.30am in 2014.
Beside that, it is interesting to know that Buffett showed his appointment diary, which was mostly empty to Spier and Pabari. This occur to me that time management and proper schedule enable a person to perform the job task effectively - that is what i am trying to tell my colleague who couldn't perform the job scopes within the expectation.
Chapter 7 is about the financial crisis in 2008. Spier does not trust Wall Street's financial products. I am equally skeptical to any financial products offered by the banks and 3rd party insurance agents in Singapore. This Chapter 7 reinforces my opinion about Wall Street and money-hungry banks.
Chapter 9 is about Spier's version of tap dance. I am surprised that Pabari and Spier bought BYD stock. Up to now, I still have not figured out how BYD will handle huge debt. Probably, I have not learnt enough about car and battery industry.
Chapter 11 is about Spier's version of checklist. His case study one is very insightful for me - I am grateful for that.
On his bibliography and guide to further reading at the last few pages of the book, there are old books, listed by him, which I wanted to read before I read his book. I wonder if i can find them at library in USA and read them in few days.
The other chapters, which I did not mention here, are equally interesting. I praise Guy Spier's honesty and willingness to share his embarrassing experiences.
Warren Buffet said as follows: "It's better to hang out with people better than you. Pick out associates whose behavior is better than yours and you". Up to now, I am not sure if I have friends who I find them smarter than me. Rather than desperately making new smarter friends, I decide to take my time to read books and blogs written by smarter people. At the same time, I try to have new friends, who are smarter than me and yet are honest.
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