biaggio

Thanks for the reminder. I have never been any good at trading in + out of things. With my luck, the minute I sell FFH, it will take off + that would be miserable. I figure Tilson and other money managers,hedge funds, etc have different pressures that me as a small player does not have to worry about. I am happy having the fellas at FFH manage money as they see fit for me as a shareholder vs selling FFH to buy something that is cheaper (Like selling your Ferrari to buy 10 used VW's because they are a good deal...incidently I personally own VW no Ferrari for me)

Thanks for the link I am 45 min into it. Having never formally studied economics or history-I find it very informative + entertaining. I never read the book Ascent of money-is this the video version?

Uccmal, #3 seems to work the best for me as well. Value investing=buying $1 of value for $0.50.

"Irene and Insurers: Less Damage, Excuse to Hike Prices" http://www.cnbc.com/id/44310472 Is this likely if P&C companies are still trying to gain or maintain market share?

turar- watch out for "healthier" drinks like juices as they usually have as much fructose as a Coke,

moore_capital54-Thanks for the post. I learned this point from one of the board members here several months ago and was prepared mentally + hence braver in buying on this last sell off. I am not sure mechanically how the VXX works but do you think that this theory will be as effective once every one is using it? ( i.e like the dogs of the dow-there was a period for a while when it did not work as well because everyone was using it.) I am thinking if i am using or looking at it so is the crowd.

you gotta love BRK + WEB

http://www.forbes.com/sites/kaipetainen/2011/08/25/inspired-by-steve-jobs-and-jack-layton/ I was surprised to see Jack Layton being quoted in Forbes (for all us Canadians). I thought these quotes were good + balanced some of the interesting exchanges on the other threads in the last few days. "My friends, love is better than anger. Hope is better than fear. Optimism is better than despair. So let us be loving, hopeful and optimistic. And we’ll change the world." -Jack Layton "And the only way to do great work is to love what you do." "Because almost everything — all external expectations, all pride, all fear of embarrassment or failure – these things just fall away in the face of death, leaving only what is truly important." -Steve Jobs

http://www.forbes.com/sites/steveforbes/2011/08/23/steve-forbes-interview-robert-kleinschmidt-contrarian-investor/ Good interview. Expresses a lot of the values of many board members here. Eclectic set of favorite investments (I must admit I was surprised by them)- Newmont Mining, Microsoft, Ford. Likes natural gas.

Happy to be a BRK shareholder.

CNBC reporting BRK to invest $5B in BAC...

Any theories as to why there is a perception or feeling of excess capacity? Is it because there is a lot of capital being invested in P&C by investors? Or is it the appreciation of there bond holding due to low interest rates? Or is it that we companies have been unrealistic in reserving for losses? I am thinking the latter.

what do you think he will tell him?

"Waiting to buy the many bargains out there is simply trying to squeeze more returns. It is as risky as not knowing exactly when to cover a profitable short." Good point Cardboard. Good reminder.

http://www.theglobeandmail.com/globe-investor/investment-ideas/streetwise/canadas-banks-next-dominos-to-fall/article2134871/ I was looking to add some canadian banks. Near monopolies up here in Canada. They always find something to blow themselves up with. Disclosure: own some BMO.

Eventually we ll have a recession. They always happen. I thought we were beyond correction, feels that way. Dow down only 12.5% so far in last month? Trying to keep to fundamentals + principals often discussed on this board. Good to have dry powder-although this was by accident for me. Averaging in owner managers (BRK, FFH, L), some dividend paying companies

I am starting to feel fearful, less confident, ... must be near the bottom soon.

Anybody looking at buying FFH at today's valuation (~$380) ? I have been wanting to add FFH, waiting for it to become cheaper for a while now. Thought I would post this to change or add to all the recent discussions on macro trends etc which I have enjoyed.

Japanese stocks?

Am I reading this thing wrong or the chart point that when PE are increasing the 20 year return increases? It seems counter-intuitive to me... BeerBaron yeh, upon looking at it again, it does not look right(?) At the 1999 pt, the peak in increase in PE, the annual rate of return (20 year rolling) looks like 15%, but that must be the return of the market that year (not for the next 20 years) which would reflect the increased PE multiple + any increase in earnings per share. -besides 20 years has not passed-Or would that reflect the preceding 20 years Anyways to me it looks like it is best to buy when PE's have decreased-then the next 20 years will be good for returns.

http://4.bp.blogspot.com/-EynXuE2Bphs/Tkh_xuqFdmI/AAAAAAAAClY/JzQLrO0F9H8/s1600/Rolling+20yr+returns+vs+starting+PE+ratio+-+Crestmont+Research.png interesting chart

After watching this interview I spent time reading his blog + I thought it was good. Outspoken. Confident. I did not realize that he built himself from zero. The average person has no idea how many times that guys with this type of success get knocked down and keep getting up + eventually making it. Smart to get out at the top of internet bubble. I like his attitude towards Wall Street. I think it is good to read/study about folks without the same investing style as ourselves.

Thanks, twacowcfa So do you aim for a large %(say 60%) in owner operated companies that are acyclical or counter cyclical and then the rest in cash or special situations (arbitrage, etc)? If so, I like it.

Myth, good point. It was interesting that with all the downs + up, market was only down 1.7%(it sure felt like more). Maybe folks will become more long term orientated i.e realize that even though their holding fluctuated a lot, at the end of the year they are still up 7%(just an example) which is better than 0 for everything else available. Its interesting that 70% of trades are held for a fraction of a second. That should average down the average holding time for a stock,LOL.

I was just thinking the same thing. I am of the opinion that computer driven trading from these HFT + leveraged hedge funds/quants are driving/amplifying at least some of the volatility recently---Maybe this will help some of us "small guys" i.e lower prices. Being a value investor is the way to go.