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{"id":14835,"date":"2020-11-08T15:21:13","date_gmt":"2020-11-08T15:21:13","guid":{"rendered":"https:\/\/businessecon.org\/?page_id=14835"},"modified":"2024-11-11T22:04:32","modified_gmt":"2024-11-11T22:04:32","slug":"membership-program","status":"publish","type":"page","link":"https:\/\/valueinvestingnow.com\/home\/value-investing-program\/membership-program","title":{"rendered":"Membership Program"},"content":{"rendered":"

Value Investment Club – Membership Program<\/span><\/span><\/strong><\/h1>\n

Value investing in the simplest of terms means to buy low and sell high<\/strong>. Value investing is defined as a systematic process of buying high quality stock at an undervalued market price quantified by intrinsic value and justified via financial analysis; then selling the stock in a timely manner upon market price recovery.<\/span><\/p>\n

There are four key principles used with value investing. Each is required. They are:<\/span><\/p>\n

    \n
  1. Risk Reduction<\/strong> – Buy only high quality stocks<\/span><\/strong><\/a>;<\/span><\/li>\n
  2. Intrinsic Value<\/strong> – The underlying assets and operations are of good quality and performance and there is a core value for the security;<\/span><\/li>\n
  3. Financial Analysis<\/strong> – Use core financial information, business ratios and key performance indicators to create a high level of confidence that recovery is just a matter of time;<\/span><\/li>\n
  4. Patience<\/strong> – Allow time to work for the investor.<\/span><\/li>\n<\/ol>\n

    When you join, you participate in an information process.<\/span><\/p>\n

    Here, you receive all the models and activity that occurs in the Club. The Value Investment Fund has eight pools (you learn about POOLS during initial phase of education) of similar companies:<\/span><\/p>\n

      \n
    1. Railways<\/span><\/strong><\/li>\n
    2. Real Estate Investment Trusts<\/span><\/strong><\/li>\n
    3. Fast-Food Restaurants<\/span><\/strong><\/li>\n
    4. Insurance (Property and Casualty)<\/span><\/strong><\/li>\n
    5. Military Contractors<\/span><\/strong><\/li>\n
    6. Banking<\/span><\/strong><\/li>\n
    7. Hotels<\/span><\/strong><\/li>\n
    8. Entertainment<\/span><\/strong><\/li>\n<\/ol>\n

      As an example, in the fast-food pool, the companies monitored include McDonalds<\/a><\/strong><\/span>, Wendy’s, Dominos, Starbucks, Jack in the Box, Chipotle and Shake Shack. There is a buy\/sell decision model that you have access to which is updated regularly to reflect the annual changes with intrinsic value and the corresponding buy\/sell points.\u00a0<\/span><\/p>\n

      Any activity in the Fund is posted as member-only articles along with the underlying decisions and the corresponding explanations. As a member, you may use the information for your own self-directed fund or just watch this site’s Fund as it grows and changes.<\/span><\/p>\n

      There is a secondary channel which is educational in nature and teaches the member about value investing and how to quantify intrinsic value and the corresponding buy and sell points for securities. This is done over a course of a hundred plus lessons; the idea is to give you long-term confidence with your trades. It is a self-paced program. There is no need to rush through the lessons. Although it appears quite extensive with 100 plus lessons, fear not, you still receive information about this site’s Value Investment Fund’s activity. This educational channel is open to all and does not require membership. However, information about respective securities and the buy\/sell points are only available via Club Membership.<\/span><\/p>\n

      \"ValueTo the left is the most recent five years’ evaluation (through September 30, 2024). This site’s investment fund has outperformed all major indices from large across the board fund groups (S&P 500 and DOW Jones Industrial Average) to indices focused on growth (Invesco QQQ and Vanguard Growth). Average annual returns exceed 21.8%. The only investment style that outperforms value investing is ‘LUCK<\/strong>‘.\u00a0<\/span><\/p>\n

      Start out by first learning about value investing and how it works. There are eighteen lessons for Phase One<\/strong><\/span><\/a> of the program. The lessons are available right now and do not require a log-in. This is a self-pace program.<\/span><\/span><\/p>\n

      In Phase Two<\/span><\/strong><\/a>, an additional 100 lessons explain how to develop financial metrics to identify opportunities. In this phase, a pool is developed from step one all the way through to the final decision model. This particular phase focuses on hotels. Each lesson builds on the prior set and develops your understanding of how financial information is evaluated. This allows you to create your own investment pool in parallel to the hotels pool.\u00a0<\/span><\/span><\/span><\/p>\n

      The final phase is referred to as sophistication. It teaches the member about some auxiliary tools an investor uses to marginally increase the fund’s overall return. For a more detail understanding of all three phases, just scroll down a little further for more information.<\/span><\/p>\n

      Educational Program Phase One – Introduction, Terminology and Conception<\/span><\/strong><\/p>\n

      The first phase is essentially an introduction to the four core principles of value investing. During this phase, you will learn about value investing and how systematic buying and selling accumulates wealth. Most visitors take about four to six months to complete this part of the curriculum. It includes:<\/span><\/p>\n