Value Investing

The Value Firm® is a classic value investing company inspired by the thinking and teachings of investing legends like Warren Buffett and Seth Klarman. The company is all about good old-fashioned stock picking and is based in the greater Amsterdam area.

The number one idea is to view a stock as an ownership of the business and to judge the staying quality of the business in terms of its competitive advantage. The Firm in 5 Slides.

The company offers investment partnerships (fund management, separately managed accounts) based upon the original Buffett Partnership principles. For professional investors only.

Latest news

  • 8 November 2019 – In the Winter 2020 Edition on Intelligent Cloning, to be published 30 December, we will revisit the Mohnish Pabrai Free Lunch Portfolio and have a first in depth look at the newly developed Risk Rating Algorithm.
  • 6 August 2019  –  The first online mini MBA on Business Valuation in a mixture of Dutch and English.
  • 22 May 2019  –  Quant Q4 is already up 40% and by that defining the end result for the year. This is a 40% return for the second year in a row.

Letters and more…

Please note that the proces for AIFMD licensing/registration will start when appropriate.

Value Investing, the strategy of investing in securities trading @ an appreciable discount from underlying value, has a long history of delivering excellent investment results with very limited downside risk.

Obviously, there is no such thing as investing without risk. We all know that. Every now and then sudden sharp downward swings in markets and the economy will happen. Whatever adverse scenario you can contemplate, reality can be far worse.

Business cycles and human interaction, the cycles of greed and fear, will continue to interact to create excessive swings in the markets. To handle hefty stock market volatility with care and wisdom is by no means easy.

There are exceptional investment professionals that consistently outperform the S&P 500. By doing fundamental bottom-up research, one stock at a time, based upon stock price compared to business value, they are able to identify companies that will outperform the markets.

Before I come to the final note, I would like to remind you that over the last ninety years the S&P 500 has delivered a total return of more than 9% annualized. Most of us are better off by periodically investing in the Vanguard S&P 500 index fund. And just leave it there for the rest of your life.

Professional investors have a long history of failing to beat the market after accounting for their fees. If you want to do better than the index then you have to engage in active management with its costs, its uncertainty and the risk that if you try to do better than the index you might do worse than the index. The inconvenient truth is that even a high caliber track record isn’t a guarantee for favorable future results.

The final note. The law requires all financial institutions to obtain, verify, and record information that identifies each person or entity who opens an account. The first step is the legally required Customer Due Diligence documentation. If you want more information, please send me an email, peter@thevaluefirm.com, or contact me by phone (+31 6 230 44 767). You can find the Bloomberg Company Profile page over here.

Onze werkwijze