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Strategies & Market Trends : Value Investing

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To: Seeker of Truth who wrote (15139)8/11/2002 10:54:23 PM
From: j g cordes  Read Replies (2) of 78747
 
Malcolm.. saying Buffett and Munger are investors stretches the common meaning of the word. The size of their positions allows them managerial influence not to mention the positive influence their attention garners the companies they take positions in.

There are more specific and appropriate terms like accredited investor, partner, institutional investor, angel investor, majority position.. all pointing to the special status a well heeled individual or institution implies.

It seems to me some of the same concepts guiding money placement for the wealthy might not apply to smaller accounts for just these reasons. Risk may have to be increased.

An investor like Buffett can have considerable influence on capital appreciation just by being there. In Buffetts and Munger's case, just showing up at someone's doorstep adds value to their house..

There's not a chance that anyone here, conservative, speculative, value guided or not could have a comparable effect. Therefore it seems to me there's an investor and there's an Investor of quite another nature who's strategies we may mimick but not be on equal footing with.

Jim
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