Ten Attributes Of Great Fundamental Investors:
- Be numerate (and understand accounting)
- Understand value (the present value of free cash flow)
- Properly assess strategy (or how a business makes money)
- Compare effectively (expectations versus fundamentals)
- Think probabilistically (there are few sure things)
- Update your views effectively (beliefs are hypotheses to be tested, not treasures to be protected)
- Beware of behavioral biases (minimizing constraints to good thinking)
- Know the difference between information and influence
- Position sizing (maximizing the payoff from edge)
- Read (and keep an open mind)