Product Description

THE BIBLE OF VALUE INVESTING UPDATED BY TODAY'S VALUE INVESTING MASTERS

Buying a dollar's worth of assets for 50 cents isn't the only way to succeed on Wall Street. But it is how Warren Buffett got rich. Just as value investing never goes out of style, neither does the value investor's bible, Security Analysis, by Benjamin Graham and David L. Dodd, which has withstood the test of time as well or better than any investment book ever published. Now the Sixth Edition updates the masters' ideas and adapts them for the 21st century's markets.

In what will be a major event in the investment community, the second edition, which was published in 1940 and still considered the definitive edition, has been updated by a dream team of some of today's leading value investors. Their new commentaries will be added to the 1940 text.

“Graham's ideas inspired the investment community for nearly a century.”-Smart Money

INCLUDES MORE THAN 150 NEW PAGES OF COMMENTARY BY THE MASTERS OF VALUE INVESTING:

• Seth A. Klarman, president of The Baupost Group, L.L.C. and author of Margin of Safety
• James Grant, founder of Grant's Interest Rate Observer, general partner of Nippon Partners
• Jeffrey M. Laderman, twenty-five year veteran of BusinessWeek
• Roger Lowenstein, author of Buffett: The Making of an American Capitalist and When America Aged and Outside Director, Sequoia Fund
• Howard S. Marks, CFA, Chairman and Co-Founder, Oaktree Capital Management L.P.
• J. Ezra Merkin, Managing Partner, Gabriel Capital Group .
• Bruce Berkowitz, Founder, Fairholme Capital Management.
• Glenn H. Greenberg, Co-Founder and Managing Director, Chieftain Capital Management
• Bruce Greenwald, Robert Heilbrunn Professor of Finance and Asset Management, Columbia Business School
• David Abrams, Managing Member, Abrams Capital

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Product Details

• Amazon Sales Rank: #7873 in Books
• Published on: 2008-10-01
• Original language: English
• Number of items: 1
• Binding: Hardcover
• 700 pages

Financial Times, 17 June 2008
An investor's classic. The biggest event in investment publishing this year looks certain to be the re-publication of... Security Analysis.

Review
“The biggest event in the world of investment publishing this year looks certain to be the re-publication of a book that came out almost three-quarters of a century ago.” (Financial Times )

From the Back Cover

“A roadmap for investing that I have now been following for 57 years.”
—From the foreword by Warren E. Buffett

The 1940 edition of Security Analysis is considered the bible of value investing. McGraw-Hill continues its proud tradition with this new sixth edition that will serve as a touchstone for a new generation of investors.

The leading “Masters” of value investing have updated Graham and Dodd’s classic work with more than 200 pages of new commentary:

• Seth A. Klarman, president of The Baupost Group, L.L.C. and author of Margin of Safety
• James Grant, founder of Grant's Interest Rate Observer, general partner of Nippon Partners
• Jeffrey M. Laderman, twenty-five year veteran of BusinessWeek
• Roger Lowenstein, author of Buffett: The Making of an American Capitalist and When America Aged and Outside Director, Sequoia Fund
• Howard S. Marks, CFA, Chairman and Co-Founder, Oaktree Capital Management L.P.
• J. Ezra Merkin, Managing Partner, Gabriel Capital Group .
• Bruce Berkowitz, Founder, Fairholme Capital Management.
• Glenn H. Greenberg, Co-Founder and Managing Director, Chieftain Capital Management
• Bruce Greenwald, Robert Heilbrunn Professor of Finance and Asset Management, Columbia Business School
• David Abrams, Managing Member, Abrams Capital

The accompanying CD-ROM contains the entire 1940 text.

“Benjamin Graham is the father of investment analysts everywhere, originally sparking the debate for a credential to professionalize the industry which led to the CFA Charter. He transformed the practice of financial analysis from trade to science, starting with his groundbreaking book, Security Analysis, first published in 1934. This edition, with new commentary by some of today’s finest investors, belongs on every investment professional’s shelf.”
—Jeffrey J. Diermeier, CFA, president and CEO, CFA Institute

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Customer Reviews

The value investor's Bible - now with added gospels
Graham & Dodd's Security Analysis has long been held as one of the seminal investment works since it was first published in 1934. Revised several times, the first two editions were perceived as the most insightful versions. Now, for the sixth edition, we have the text of the second edition accompanied by several essays from successful proponents of value investing - as well as a contribution from Roger Lowenstein, the journalist responsible for "When Genius Fails", the dramatic account of the failure in 1998 of Long Term Capital Management. The behavioural finance expert and value investor James Montier has recently identified this new version as being a must-buy given the addition of the modern essays.
This is not a work you need to read straight through. There is a good contrast between the contemporary essays with more modern examples of the value practice, and the examples cited in the original text from the early 20th century. The essays are eminently readable as an aperitif for the real homework. It is basically split along Fixed Income and Equity sections, adding extra convenience for anyone specialising in one of those areas.
The best thing about value investing is that repeated studies have shown it to achieve the best returns over time; but because many investors don't or can't allow for long-term horizons, they pursue short-term strategies that frequently don't pay off. Thus there is always room for value investors to reap the rewards of their efforts. This is a book that will enlighten all - be they current or wannabe investors, professional or private, searching for the Holy Grail.

Security Analysis
An excellent book it even comes with an accompanying CD of a previous edition. The commentary is excellent and thoroughly up to date. You need to have alot of time to read this book. There are lots of salient investment nuggets. You just have to find them. Even though it a book written originally a long time ago, it is still very relevant today.

Good - but a bit of let down
Do not get me wrong this is a good book, and in my opinion the 1940 edition is the best investment book you can get, but the annoying thing first is the disk, they have just cut out a number of chapters from the 1940 edition and put it on the disk which in my opinion is stupid and just a ploy to save them money from printing more paper, and a sales ploy by saying that you get another edition on disk when you do not, all they have done is put the 1940 edition in the book, then cut some chapters out of the 1940 edition and put it on the disk with the appendix which is also annoying, as you have to read the book in order you have to use the disk or just miss the chapters out until you are at a computer (they have cut 11 chapters out, with the appendix, most annoyingly 11, 12, 13 and 14). Now do not get me wrong i understand why they have removed these chapters as the data they use is not relavent to today, but the emphasis in the chapters are, thus they should have been left. Also i will say the unfortunitly alot of the added commentary in the book is poor, especially whereas in some of the commentary all they have done is pick out a load of the text from the section you are about to read and paste it into there commentary (section two is the worst for this), which in my opinion is pointless, especially when they have nothing really to add to what is written, it is much better if they just leave it in its original context in the following chapters, though i will say some commentary was decent, but not much. Thus in my opinion i would say it is better to jusy buy the original 1940 text rather than this book, as it would be a much easier read. Also i only give it the three stars becuase of the commentary and the outrageous con of the disc, i would have given it less, but the Graham and Dodd bit as always is exceptional, and deserves way more than a 5, but the new book without this really deserves less than a 1