David Dreman
David Dreman is the Chairman and Chief Investor of Dreman Value Management. Dreman has written his strategies in different works. The "Contrarian Investment Strategies: The Next Generation" is a highly acclaimed work. About this book Marshall Loeb, former editor, Fortune Magazine, says: "David Dreman has written one of those rare, original books on the market that appear every generation or so". The book also covers the strategies for investing in 1990s and beyond.
Some of the rules by Dreman are as follows:
No Technical Analysis
Though more used in Wall Street (Dalal Street in India), still technical analysis does not seem to have any validity.
- No Dependency on Experts
- More analysis on the Forecasts of the Analysts
- Investment on Out of the Favour Stocks
- Analysis with Ancillary Financial Indicators
- Broad Diversification
- Buy the Cheapest Stocks as Determined by the Contrarian Strategies
- Not to be Carried Away by Short-term Record of an Analyst for a Money Manage
- Emphasize more on the Base Rate and Less on the Case Rate
- More time to work out for your strategy
- Risk Differently
According to Dreman, the good measure of risk should focus on preservation and enhancement or purchasing power in real terms in the long run and not on volatility of short term nominal returns.
Property Loan Investment |
Fremont Investment and Loan |
Real Estate Investment Trust
|
|
|
|