Influence
Graham-and-Doddsville influenced Seth Klarman's 1991 Margin of Safety and was cited by Klarman as a principal source; "Buffett's argument has never, to my knowledge, been addressed by the efficient-market theorists; they evidently prefer to continue to prove in theory what was refuted in practice". Klarman's book, never reprinted, has achieved a cult status, and sells for four-digit prices.
Buffett's article was a "titular subject" of 2001 Value Investing: From Graham to Buffett and Beyond.
In 2005 Louis Lowenstein compiled Graham-and-Doddsville Revisited – a review of the changes in mutual fund economics, comparing the Goldfarb Ten funds against Buffett's value investing standard. Lowenstein pointed out that "value investing requires not just patient managers but also patient investors", since value investing managers have also demonstrated regular drops in portfolio values (offset by subsequent profits).
Read more about this topic: The Superinvestors Of Graham-and-Doddsville
Famous quotes containing the word influence:
“Nature has taken more care than the fondest parent for the education and refinement of her children. Consider the silent influence which flowers exert, no less upon the ditcher in the meadow than the lady in the bower. When I walk in the woods, I am reminded that a wise purveyor has been there before me; my most delicate experience is typified there.”
—Henry David Thoreau (1817–1862)
“What do women want with votes, when they hold the sceptre of influence with which they can control even votes, if they wield it aright?”
—Mrs. H. O. Ward (1824–1899)
“What arouses the indignation of the honest satirist is not, unless the man is a prig, the fact that people in positions of power or influence behave idiotically, or even that they behave wickedly. It is that they conspire successfully to impose upon the public a picture of themselves as so very sagacious, honest and well-intentioned.”
—Claud Cockburn (1904–1981)