What market does or does not believe, does not matter. If we do not have our own beliefs about values of companies, we are not value investors. If we do not buy companies way below their intrinsic value, we are not value investors.
Expecting that market will agree with you as a value investor is, sorry to say, a folly. If it did, the stock would not be at value price.
BTW, to be clear, I am not arguing against having 60% or any other percentage of cash. I am just arguing that if there are values, one buys them. Holding cash is for times when there are no values. (And BTW one could make the case that "there are no values now, since companies will report losses for 10 years of grand depression", but this is not your reasoning). |
