The Intelligent Investor By Benjamin Graham

What is The Intelligent Investor about?

First published in 1949, Benjamin Graham’s The Intelligent Investor explains his approach to value investing. Graham asks readers to judge what a business is worth, compare that estimate with the market price and make decisions with a long time horizon.

What does Benjamin Graham mean by a margin of safety?

A margin of safety is the gap Graham seeks between the price paid and a conservative estimate of value. Its purpose is to leave room for errors in that estimate or for business conditions to worsen.

Who might find this book useful?

It suits readers who want to understand the reasoning behind value investing and how Graham distinguishes investing from speculation. Some examples come from earlier US markets. Editions with Jason Zweig’s commentary add later examples, so check the edition if that commentary matters to you.