BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Piggyback investing: Greenlight Capital]]>http://www.bloggingstocks.com/2007/07/16/piggyback-investing-greenlight-capital/http://www.bloggingstocks.com/2007/07/16/piggyback-investing-greenlight-capital/http://www.bloggingstocks.com/2007/07/16/piggyback-investing-greenlight-capital/#commentsFiled under: , ,

Greenlight Capital is a very interesting and successful hedge fund ran by value investing superstar David Einhorn. The fund has annualized returns at 27% per year for the last 10 years. Einhorn's investment style is especially interesting because he is not afraid to make large, focused bets and because he specializes in special situations, specifically spinoffs.

Focus investing is a concept which has recently seen a resurgence due to the success of Mohnish Pabrai and many other focused hedge funds such as Greenlight. As I recently covered here, spinoff investing is a compelling method of investing which I consider to allow for "structural undervaluation."

Interestingly, Einhorn isn't a one horse pony when it comes to investing. He's also a very talented poker player. In fact, he came in 18th (of 8,773) in the 2006 World Series of Poker for which he took home almost $660,000. This is pertinent because many people believe there is a correlation between excelling in trading/investing and doing well in poker.

Continue reading Piggyback investing: Greenlight Capital

Piggyback investing: Greenlight Capital originally appeared on BloggingStocks on Mon, 16 Jul 2007 16:40:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>David EinhornDavidEinhornGEGNWGreenlight CapitalGreenlightCapitalHOVLXMDCMohnish PabraiMohnishPabraiMSFTMon, 16 Jul 2007 16:40:00 EST<![CDATA[Piggyback investing: An introduction]]>http://www.bloggingstocks.com/2007/07/12/piggyback-investing-an-introduction/http://www.bloggingstocks.com/2007/07/12/piggyback-investing-an-introduction/http://www.bloggingstocks.com/2007/07/12/piggyback-investing-an-introduction/#commentsFiled under:

As the markets become more and more efficient and finding ideas is becoming more difficult for investors, the style of piggyback investing has emerged. Simply put, 'piggybacking' is following the smart money and making investment decisions based on the publicly-available position sheets of the best investors. By law, the majority of funds are required to release a list of their holdings to the SEC database via 13F-HR filings. Also, activists and any passive investor with a stake greater than or equal to 5% in a given company are required to file 13G or 13D filings. Therefore, it's not very difficult to follow the smart money these days.

Proponents of this school of thought, notably James Altucher of Stockpickr.com and TheStreet.com, argue that it makes much more sense for the individual investor to simply track and cherrypick the best ideas from the smartest investors' portfolios rather than try and interpret news events or randomly sort through stocks. And, for the most part, I tend to agree. As an individual investor, and more importantly a blogger, I constantly struggle to find new and interesting ideas to write about or invest in and I've found that this method has worked well to help me find new potential investments and create interesting watchlists.

Continue reading Piggyback investing: An introduction

Piggyback investing: An introduction originally appeared on BloggingStocks on Thu, 12 Jul 2007 11:12:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>David EinhornDavidEinhornGreenlight CapitalGreenlightCapitalPiggyback InvestingPiggybackInvestingThu, 12 Jul 2007 11:12:00 EST