I have been inspired by Value and Opportunities “All German Shares” segment, where they week by week work through every share listed in Germany. I have always believed the systematic analysis of opportunities can lead to some pretty spectacular results. However, to pragmatically find opportunities in a mostly efficient (and mostly overpriced) market, we need […]
Month: October 2020
Impact of asymmetries on diversification — reconciling Buffett and Markowitz
At the ’96 Berkshire Hathaway annual meeting, a question was raised about diversification, to which Warren replies with the following: We think diversification, as practiced, makes very little sense for anyone that knows what they’re doing. Diversification is a protection against ignorance. It is a perfectly sound approach for somebody who doesn’t feel they know […]
Howard Hughes Corp (HHC): a deep value SOTP analysis
Introduction and context I’ve been watching Howard Hughes Corp (HHC) since Bill Ackman of Pershing Square spoke about it at Sohn in 2017. HHC’s is a real estate development company whose primary method of generating returns is building communities such that added developments further increase the value of their remaining holdings. They also hold onto, […]