In 2005, Joel Greenblatt published a book that is already considered one of the classics of finance literature. In The Little Book that Beats the Market—a New York Times best seller with 300,000 copies in print—Greenblatt explained how investors can outperform the popular market averages by simply and systematically applying a formula that seeks out good businesses when they are available at bargain prices. Now, with a new Introduction and Afterword for 2010, The Little Book that Still Beats the Market updates and expands upon the research findings from the original book. Included are data and analysis covering the recent financial crisis and model performance through the end of 2009.
In a straightforward and accessible style, the book explores the basic principles of successful stock market investing and then reveals the author’s time-tested formula that makes buying above-average companies at below-average prices automatic. Though the formula has been extensively tested and is a breakthrough in the academic and professional world, Greenblatt explains it using sixth-grade math, plain language, and humor. He shows how to use his method to beat both the market and professional managers by a wide margin.
You’ll also learn why success eludes almost all individual and professional investors, and why the formula will continue to work even after everyone “knows” it. While the formula may be simple, understanding why the formula works is the true key to success for investors. Greenblatt will take listeners on a step-by-step journey so that they can learn the principles of value investing in a way that will provide them with a long term strategy that they can understand and stick with through both good and bad periods for the stock market.
©2010 Joel Greenblatt (P)2010 Simon and Schuster Audio
"Mr. Greenblatt…says his goal was to provide advice that, while sophisticated, could be understood and followed by his five children, ages 6 to 15. They are in luck. His ‘Little Book’ is one of the best, clearest guides to value investing out there.” (The Wall Street Journal)
I'm a lawyer and mediator. I represent businesses in disputes with their insurers and in other complex litigation. I also assist machinery companies and manufacturers (primarily international) with equipment sales, non-disclosure agreements, and business issues. I also mediate commercial disputes.
This is a really good book that presents a cogent theory of value investing. The author also provides examples (updated by a website) on how to put the theory into practice.
I like the simplicity and clarity in wading thru so much noise in investing to find what you need to select some good investments (using stock screeners, it makes it even easier). Warning: Does require patience, and I have not used this system to know how well it works... but Joel Greenblatt has a good reputation as a very good investor.
I loved how the author was able to simplify a complex industry into a simple down to earth concept that I was able to grasp and implement.
The hot air balloon story.
The little boy selling chewing gum. "You want some, you know you want some!"
Investing in financially sound businesses at low prices on a routine basis.
I came across the book first. Then I went and downloaded it from Audible.com because I liked it so much and wanted to listen to it in my car!
Initially I purchase this book in its first edition. unfortunately I wasn't ready to begin investing into the market at that point in my life. fortunately the tides have changed with more favourable winds and I have Revisited the little blue book that beats the market. I find the information still relevant and helpful in my investment success.
The narrator is great. He does a great job. The book essentially discusses a formula and website you can use to pick stocks. In the beginning he wrote this before the two recent stock market corrections and was so positive and sure about his formula. However it sounds like you have to do a lot of work, on top of using the formula, and towards the end, after the 2009 great recession it sounds like he is less sure about this formula. This book isn't good for telling you a lot about the stock market, but rather trying to sell this formula and website, which he sounds less and less sure about towards the end of the book. Overall you would have to have a huge portfolio and have to apply this formula every year and wait for your results over the long run. Sounds like more work for not enough gains compared to funds.
This book is easy to understand, even for unsavy investors. Highly recommended!!
Among all of the audiobooks I've listened to so far, The Little Book That Still Beats The Market is absolutely on of the best.
Excellent Narration. I actually felt like I was listening to the author. The narrator did an excellent job of conveying the humor that the author included. This book is a highly informative, engaging, and very fun listen.
I have not listened to any of Adam's other performances, but I will seek them out.
A simple formula for successful investing.
Very satisfied with this product.
This book is really for the basic investors. I am a pro and found it very boring. almost a childs book
I wouldn't recommend this book. The book directs to a website that isn't user friendly for finding out about stocks. The book doesn't give good strategies.
"long term strategy"
the book quality was overall good and well presented but it.felt like a sales pitch for the magic formula. the fundamentals seem sound.
Greenblatt is a superb value investor. The magic formula is not the pinnacle of good value investing but it is a better option than an index fund or most active funds for most investors. There are also good lessons in the book for everyone.
"Highly educational & underpinned by logical framew"
Highly educational & underpinned by logical framework of buying above average companies at below average prices based on objectively derived numerical ranking
"Very good introduction to value investing"
Book is about value investing with formula to rank most valuable stocks. Full rules are revealed unfortunately I have not found free data that can be used to apply and backtest method from this book.
It compares with other value investing books. But formula is easy to apply for any individual investor. It clearly shows one easy way to pick value stocks.
"Great introductory book but I need more!"
Very intriguing. Makes sense. Though he doesn't explain what standard checks one should do when looking at your top ranked companies. Surely some sort of filter should be applied? I read on the wikipedia page that financial and energy firms should be removed but this is not mentioned in the book. Also, no explanation is given for why the formula would not work in international markets (e.g. The UK?). Must be an accounting rule but would be helpful to know which one. And finally, no discussion on transaction costs and a recommended starting balance to spread these.
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