Value Investing these days.

**Mosguy** Sun May 06, 2007 7:56 pm

Value Investing these days.
Well when Graham says that value investing takes patience when dealing with Mr. Market, he wasn't kidding. Everything is so expensive these days. I am not comfortable with foreign stocks as yet..So I'm digging into U.S equities for value and having a hard time...Is anyone else feeling the same pain or Do I just suck =-)?

Good Investing.

**blast_investor** Mon May 07, 2007 2:52 pm

Hi Mosguy:

This is not unusual feeling on most US stocks.

For most of US stocks, if you dig deeper on valuation with Graham approach, you will find most stocks are not so attractive, either fairly (or over) valued, or too much uncertainty to get any valuation assessment.

In my opinion, the current market is not dirt cheap market with tons of value (nor over expensive). Most large or mid stocks are either fairly valued or over valued. It is therefore reasonably to expect that most of time you ended up with no value.

Finding value is simple approach, but not so easy to do for most individual investors for various reasons.

**aquaswim47** Sun Jun 24, 2007 12:19 am

Hi
In terms of value investing, I'd try to stay out of any market that looks like it is in a bubble now. I really think that the US market is at a discount compared to the world market but that it is due for a correction.

In the current economy, I'd go:

35% VTI
35% EWC
20% EFA
5% EWT
5% VWO

for the 70-80% equities portion and:

60% LQD
30% AGG
10% TLT

for the 20-30% fixed income portion

Typically, I'd be invested in 80% equities in which I was 45% in US, 45% in developed foreign countries, and 10% emerging market. However, I think that you need to avoid China and consider a Hong Kong or a Taiwan with less of a market connection.

**musicwhiz** Wed Jul 11, 2007 12:18 pm

Hi all,

I am a Singaporean and invest solely in Singapore equities on the Singapore Stock Exchange. Using Buffett's and Graham's principles, I have found no good under-valued companies currently. I guess the same goes for shares in companies trading on other Asian Exchanges as well, as the Sensex in India (for example) has just hit a fresh high. My current portfolio offers me a decent margin of safety but most of my friends are into exuberance mode and chattering excitedly about the next RTO (reverse-takeover) company, alternative fuels and trend/momentum investing.

Sometimes, I think they treat value investing as a kind of cobwebby topic only discussed at staid business meetings. :P

Anyone else has this experience as well from other countries ? :)

**baczhou** Sat Sep 22, 2007 12:23 pm

Re: Value Investing these days.
Hi, Mosguy,

I agree with Blast that the current mkt is not a undervalued one. Most stocks are fairly or even overvalued. Comparing with other mkts, u.s. stocks have some more discounts than emerging mkt stocks, such as China's, Latin's or southeastern asian.

However, I do believe the more discount of u.s. stocks than emerging mkt ones has no reason. Although many people are betting on the fast growth in some economies, such as China and Brazil, their speculation might be very correct if you go back to see many years later.

Mosguy wrote: Well when Graham says that value investing takes patience when dealing with Mr. Market, he wasn't kidding. Everything is so expensive these days. I am not comfortable with foreign stocks as yet..So I'm digging into U.S equities for value and having a hard time...Is anyone else feeling the same pain or Do I just suck =-)?

Good Investing.