the new investor
Investment
Schools of
By Mathew Piper
Thought
C
ommunism vs Democracy, Classical vs
Keynesian, Chocolate vs Vanilla, Cats
vs Dogs: Humans seem to find a way
to disagree about almost everything
in life, and investing is no different! So
how do we pick sides when it comes to managing
our money? What philosophy do we invest by? In a
field that seems so vast and complex, what are the
investing schools of thought?
There are two obvious methods over which
investors have been locking horns for years. One
side loves the thrill of luring the bull up the stairs just
long enough to see the bear drop out the window.
The other side immerses itself in business, financial
statements, and buying companies at bargain prices,
just in time to see the value come pouring in. There
are two men who epitomize both of these mindsets.
Fundamental vs Technical. Value vs Profit. Investing
vs Trading. Warren Buffett vs George Soros.
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