How do you find value in the markets? There are thousands of stocks to choose from, some overvalued, some undervalued and the vast majority fairly valued. Like any smart purchase, you have to figure out how to buy at a discount. Sometimes with the right amount of work and analysis you may be able to buy at a very steep discount to fair value. But this takes tremendous skill and other core traits to be able to know when great value is available, and you have to have the confidence and conviction to buy when deep value is there.
Key components of good value investing strategies:
1. Buy stocks that have obvious near term problems
2. Analyze the financials to...