Economics meets Evolution in new book, The Nature of Value from Columbia University Press.
Free chapters and mobile app for iphone and android at www.thenatureofvalue.com
Caveat: I am the author of this book.
Some reviews from noted academics and value investors:
"Nick Gogerty has done a phenomenal job of developing and clarifying economic value when it comes to equity investing. His book incorporates new thinking about the economy as a dynamically evolving, complex, adaptive system. Gogerty introduces new ways to apply these concepts on the granular scale of the firm. This book will certainly enhance the reader's ability to make good investments and is a must-read for any thoughtful investor."
--Guy Spier, Managing Partner, Aquamarine Capital,
author of The Education of a Value Investor
...It is impossible to read this book and not think about how it applies to your own business. ...I have a raft of notes that I think will be of value to my consulting clients... ...You don't have to agree with Gogerty's points to get benefit from the ecological perspective... The ideas are straightforward, but multilayered, deep, and important. This is a book I will re-read, refer to, and think about for years to come. Tom Brakke researchpuzzle.com/blog/2014/06/11/the-nature-of-value/
In the great tradition of Charlie Munger's 'worldly wisdom,' Nick Gogerty delivers a multidisciplinary approach to finding investment value. Through brilliant graphics and a unique lens, he educates the reader on how to discern investment opportunities that go well beyond currently reported financial results to gain insights into how value shifts over time. Any investor who feels the 'value investing' paradigm is lacking in its ability to navigate our increasingly complex world will benefit from the tools Gogerty offers.
(Paul Johnson, Columbia Business School)
The convergence of economics and biology is fertile ground that offers a path out of the dark age of static equilibrium and efficient markets. Nick Gogerty's illuminating book gives us a deeper and more robust understanding of the complex dynamics that create and sustain value.
(Steve Waite, author of Quantum Investing and Boomernomics)
From the Inside Flap
USING EVOLUTION as the template to understand
growth, The Nature of Value takes a firstprinciples
approach to explore the parallels
between economic and ecological systems. Not
only does Gogerty show how value is born out
of tiny sparks of adaptive innovation, but he
also explores the full scope of the economy as
a complex network. He borrows from an array of
disciplines--including anthropology, psychology,
ecology, physics, sociology, and ethics--and,
most revealing of all, examines how evolution's
processes can help investors avoid risk and
improve their allocation decisions.
Starting with a look at how innovation creates
value for firms, Gogerty considers the economic
niches where companies compete and explores
how they can create defensive moats to enhance
their ability to survive. Throughout the book,
Gogerty demonstrates how this ecological understanding
of the economy can help allocators
improve their performance, supporting his arguments
with extensive data and years of practitioner
experience from scientific, social, and economic
disciplines. Gogerty's practical takeaways,
couched in vivid explanations and accompanied
by intuitive illustrations, help investors of all
backgrounds gain fresh insight into the behavior
of corporations and the economy in general.