Rajesh Padmashali: Warren Buffett, The Right Moral CompassVW Staff
Over the past 10 years, Singhi has attended nine Berkshire annual meetings, testimony to his admiration of Warren Buffett and Charlie Munger. Like his hero Munger, Singhi seems determined to achieve his holy grail of having an entire portfolio of only three or four stocks. He cites how Munger’s Daily Journal sat on millions in cash for about 10 to 12 years and then over a week or so in March 2009, used the entire hoard to buy Wells Fargo at around $9. Now it trades at $40.
Surprisingly, it was only in 1999 that Singhi first heard of Warren Buffett when he visited the Wharton campus; a full auditorium meant Singhi had to be content with watching the video of his visit over the campus intranet. Naturally, once you become aware of Warren Buffett, Graham and a recommendation to read The Intelligent Investor cannot be far behind. Shortly afterwards, Singhi started reading Security Analysis and was so impressed, he asked his professor Jamshed Gandhi why the book wasn’t part of the standard curriculum. Gandhi’s reply: “There is nothing to teach in this book. It’s all there. Just read it.”
His grouse with the way investing in taught in B-schools continues. “The junk they teach you at business schools needs to be made illegal. It is like going to medical college and being told that your heart is in your ass,” he fumes. “It amazes me that nobody questions how market premium is calculated. Plus, why they don’t teach Security Analysis? How can a fund manager invest without reading Security Analysis, because at some point in your career, you are going to have a Bill Miller moment?”