Investing Against the Tide Quotes

“When management with a reputation for brilliance tackles a business with a reputation for bad economics, it is the reputation of the business that remains intact’ Warren Buffett”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“Another type of situation I like are companies with asymmetric pay-offs – stocks where you might make a lot of money but you can be confident you won’t lose a lot.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“Jeremy Grantham, chairman of GMO, makes some very interesting observations about growth and value investing in the US: ‘Growth companies seem impressive as well as exciting. They seem so reasonable to own that they carry little career risk. Accordingly, they have underperformed for the last fifty years by about 1½ per cent a year. Value stocks, in contrast, belong to boring, struggling, or sub-average firms. Their continued poor performance seems, with hindsight, to have been predictable, and, therefore, when it happens, it carries serious career risk. To compensate for this career risk and lower fundamental quality, value stocks have outperformed by 1½ per cent a year.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“On a piece of paper I write five headings across the top: ‘strong buy’, ‘buy’, ‘hold’, ‘reduce’ and ‘?’. I then write down every stock I own in the fund under one of these five headings. As well as helping me formalise my conviction, it highlights stocks where I need to do more work, such as reviewing in detail the pluses”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“When an investor focuses on short-term investments, he or she is observing the variability of the portfolio, not the returns – in short, being fooled by randomness”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“spend a lot of time analysing what sectors and companies are under-owned and unloved by investors and stockbrokers and which sectors and companies are over-owned. Generally, the risks of owning shares are much lower in the first category and higher in the second, or over-owned group. Again, as with many other factors I look at, I won’t buy on this data alone, but it is one of the most important inputs into my buying and selling decisions.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“Predicting earnings is therefore one of the most important activities of investment professionals and City analysts spend a huge amount of their time doing this, although assessing the quality of the business franchise is even more important in my view.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“I prefer thinking in levels of conviction rather than in price targets.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money

“My view was if the investment thesis was broken they should be sold even if the valuation was attractive.”
― Anthony Bolton, Investing Against the Tide: Lessons From A Life Running Money