Security Analysis: Sixth Edition, Foreword by Warren Buffett (Security Analysis Prior Editions) BY BENJAMIN GRAHAM, DAVID DODD, ForexTrend

Security Analysis: Sixth Edition, Foreword by Warren Buffett (Security Analysis Prior Editions) BY BENJAMIN GRAHAM, DAVID DODD

In Forex Books Reviews by any arons

About the book

Initially published in 1934, this book is considered to be among the most important financial books written. This book has spanned generations of practitioners and a general audience willing to learn about the timeless philosophy and techniques on value investing by both Graham and Dodd. 

The contents of the book remain significantly relevant in the modern state of the financial industry. In this edition, commentary from the leading money managers on Wall Street is included, discussing the impact of the authors on the industry of finance and how their timeless techniques and principles remain just as significant today.

Review

This book is the 6th edition of the timeless book on finance written by Graham and Dodd. The original content added with new content, which is the commentary of various Wall Street figures, gives the book a new but still relevant view of the industry. However, in this edition, there seems to be something lacking.

The downside of the 6th edition is that it critically excluded eleven chapters from the original content to make space for the added content. Not only does this compromise the book’s content as a whole, but it is also a money-grab for readers who paid the full amount and expected the full original content with additional ones. This edition is considered to be a flop against the more prominent editions of the book, such as the 2nd one, which was considered highly instructional, insightful, and a classic on finance.

About the Author

BENJAMIN GRAHAM (1894-1976) taught at Columbia University’s Graduate School of Business. He is considered to be the founder of value investing.

DAVID DODD was an assistant professor of finance at Columbia University, where he also worked with Graham.

Table of Contents

Foreword 

Preface: The Timeless Wisdom of Graham and Dodd

Introduction: Benjamin Graham and Security Analysis: The Historical Backdrop

PART I: SURVEY AND APPROACH

PART II: FIXED-VALUE INVESTMENTS

PART III SENIOR SECURITIES WITH SPECULATIVE FEATURES

PART IV: THEORY OF COMMON STOCK INVESTMENT. THE DIVIDED FACTOR

PART V: ANALYSIS OF THE INCOME ACCOUNT. THE EARINGS FACTOR IN COMMON-STOCK VALUATION

PART VI: BALANCE-SHEET ANALYSIS. IMPLICATIONS OF ASSET VALUES

PART VII: ADDITIONAL ASPECTS OF SECURITY ANALYSIS. DISCREPANCIES BETWEEN PRICE AND VALUE

PART VIII: GLOBAL VALUE INVESTING