To: Moominoid who wrote (2862 ) 6/5/2001 9:33:59 AM From: I_C_Deadpeople Read Replies (1) | Respond to I just finished the Lowenstein book and my impressions of Buffet with regard to the topic of "picking losers" are as follows. First, and foremost, his approach to picking stocks (ie undervalued )is nothing new. It just seems that no one follows this approach! Everyone follows the trend, he simply does his own thing. Second, there have been three major time periods where he sold off most of or at least a lot of his position (contrary to the belief that he holds stock for life). the first period was of course when he dissolved the partnership in 69 , the second in early 87 and the third in 98/99. It is not coincidence that these periods were also the beginnings of bear markets. His basic, simple value approach told him there was no longer value in the market so he exits (usually quitely). He seems to instintivly know when the market is going to swoon.
