3min chapter

Chai with Pabrai cover image

Mohnish Pabrai Lecture at Peking University (Guanghua School of Mgmt) - Oct 14, 2016

Chai with Pabrai

CHAPTER

Ibskop

When you find a combination of low risk and high uncertainty usually that combination is going to give you a high reward because markets are not very good at pricing in uncertainty. There's a business in my portfolio currently called Fiat Chrysler which is based in partially in Italy and partially in Detroit. If the management is correct the future prospects of the business basically the business is being priced at 1.2 times earnings for one year. But anyway so I happen to think that what they are saying makes sense. The market thinks it doesn't make sense. No problem just like Ibskop put the stock in the portfolio and forget about it and I'll wake up in January 2019 and see what happened to Fiat

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