The Mystery of Value Investing

3min Snip

00:00

Play full episode

Summary

Transcript

Episode notes

In 1954, the stock market in the Dow Jones industrialist got back to where it was in 1929. 25 years later, the market was back at its peak. So why must we assume that sometime in the future, the stock will get max of fair value? Is this a magic formula? Why is it? That was the answer to Benjamin Graham in front of Congress in 1954.

Rebecca Hotsko talks to Milton Berg about his shift from fundamental to technical analysis, his critiques of value investing, his use of market indicators to identify turning points, and much, much more!

Milton Berg, CFA, is the CEO and Chief Investment Strategist of MB Advisors, LLC. He has worked in the financial services industry since 1978 and began his career as a Commodities Analyst and Trader at Swiss-based Erlanger and Company. He has worked with well-known titans of the hedge fund world including Michael Steinhardt, George Soros, and Stanley Druckenmiller.

IN THIS EPISODE, YOU’LL LEARN:

00:00 - Intro.

02:30 - Why Milton transitioned from being a fundamental investor, studying Benjamin Graham and David Dodd, to a technical analyst?

10:49 - What drives market prices in the short term and long term, and are they random?

16:25 - Milton’s criticisms about value investing and learning from studying Benjamin Graham.

34:54 - How his investment strategy works, which is centered around identifying significant turning points in the market?

35:06 - What indicators he uses to assess whether the market is at a turning point.

45:25 - Whether Milton believes we are near a turning point today and the market has already seen its bottom.

53:00 - Is it possible to time the market?

01:00:33 - Advice on the most important factors that long term investors should focus on.

*Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences.

BOOKS AND RESOURCES

Join the exclusive TIP Mastermind Community to engage in meaningful stock investing discussions with Kyle and the other community members.
Check out: MiltonBerg.com.
Related Episode: Listen to MI255: Navigating Bubble 3.0: Is This Time Different? w/ David Hay, or watch the video.

NEW TO THE SHOW?

Check out our Millennial Investing Starter Packs.
Browse through all our episodes (complete with transcripts) here.
Try Kyle’s favorite tool for picking stock winners and managing our portfolios: TIP Finance.
Enjoy exclusive perks from our favorite Apps and Services.
Stay up-to-date on financial markets and investing strategies through our daily newsletter, We Study Markets.
Learn how to better start, manage, and grow your business with the best business podcasts.

SPONSORS

Support our free podcast by supporting our sponsors:

Connect with Rebecca: Twitter | Instagram

Email: Rebecca@theinvestorspodcast.com

Connect with Milton: Twitter

HELP US OUT!

Help us reach new listeners by leaving us a rating and review on Apple Podcasts! It takes less than 30 seconds and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it!

Support our show by becoming a premium member! https://theinvestorspodcastnetwork.supportingcast.fm