How two core value-investing principles look applied to the Annolyse covered universe.
The quality of a decision and the quality of its outcome are two different things. Good decisions can produce bad outcomes, and bad decisions can produce good outcomes — so judging investments by price movement alone confuses luck with skill.
Framing articulated by Annie Duke in Thinking in Bets, applied to investing by Charlie Munger.
View the numbers →In the short run, the market is a voting machine; in the long run, a weighing machine. Short-term prices reflect sentiment, forced trades, algorithmic flows, and headlines — not the economic reality of the business.
Benjamin Graham, The Intelligent Investor chapter 8.
View the numbers →These principles are derived from the writings of Benjamin Graham, Warren Buffett, Charlie Munger, and Annie Duke. Annolyse applies them analytically to NZX companies. For original source material: The Intelligent Investor by Benjamin Graham (chapters 8 and 20 in particular), Berkshire Hathaway annual letters (available at berkshirehathaway.com), Poor Charlie's Almanack by Charles Munger, and Thinking in Bets by Annie Duke.