The Little Book of Sideways Markets

"e;It's hard to talk clearly about investing and make sense to ordinary readers at the same time. Katsenelson gives a lucid explanation of today's markets with sound advice about how to make money while avoiding the traps that the market sets for exuberant bulls and frightened bears alike."e; Thomas G. Donlan, Barron's "e;A thoroughly enjoyable read. Provides a clear framework for equity investing in today's sideways' and volatile markets useful to everyone. Clear thinking and clear writing are not often paired - well done!"e; Dick Weil, CEO, Janus Capital Group "e;The bible for how to invest in the most tumultuous financial market environment since the Great Depression. A true guidebook for how to build wealth prudently."e; David Rosenberg, Chief Economist & Strategist, Gluskin Sheff + Associates Inc. "e;A wonderful, grounded read for new and seasoned investors alike, Katsenelson explains in plain English why volatility and sideways markets are a stock picker's best friend."e; The Motley Fool, Fool.com Praise for Active Value Investing "e;This book reads like a conversation with Vitaliy: deep, insightful, inquisitive, and civilized."e; Nassim Nicholas Taleb, author of The Black Swan "e;Thoroughly enjoyable . . for the thoughtful and often entertaining way in which it is delivered. . . Katsenelson takes his reader step by step into the mind of the value investor by relating, in a fictional addendum to Fiddler on the Roof, the story of Tevye's purchase of Golde, the cow. He also describes his own big-time gambling evening (he was willing to lose a maximum of $40) and that of a half-drunken, rowdy fellow blackjack player to stress the importance of process. He then moves on to the fundamental principles of active value investing. What differentiates this book from so many others on value investing is that it describes, sometimes through the use of case studies, the thinking of a value investor. Not just his models or his metrics but his assessments. Katsenelson is an empiricist who weighs facts, looks for contraindications, and makes decisions. He makes value investing come alive. This may be a little book, but it's packed with insights for both novices and experienced investors. And it is a delight to read."e; Seeking Alpha

"It's hard to talk clearly about investing and make sense toordinary readers at the same time. Katsenelson gives a lucidexplanation of today's markets with sound advice about how to makemoney while avoiding the traps that the market sets for exuberantbulls and frightened bears alike." Thomas G. Donlan, Barron's"A thoroughly enjoyable read. Provides a clear framework forequity investing in today's 'sideways' and volatile marketsuseful to everyone. Clear thinking and clear writing are not oftenpaired - well done!" Dick Weil, CEO, Janus Capital Group"The bible for how to invest in the most tumultuous financialmarket environment since the Great Depression. A true guidebook forhow to build wealth prudently." David Rosenberg, Chief Economist & StrategistGluskin Sheff + Associates Inc."A wonderful, grounded read for new and seasoned investorsalike, Katsenelson explains in plain English why volatility andsideways markets are a stock picker's best friend." The Motley Fool, Fool.comPraise for Active Value Investing"This book reads like a conversation with Vitaliy: deepinsightful, inquisitive, and civilized." Nassim Nicholas Taleb, author of The Black Swan"Thoroughly enjoyable . . for the thoughtful and oftenentertaining way in which it is delivered. . . Katsenelson takeshis reader step by step into the mind of the value investor byrelating, in a fictional addendum to Fiddler on the Roof, the storyof Tevye's purchase of Golde, the cow. He also describes his ownbig-time gambling evening (he was willing to lose a maximum of $40)and that of a half-drunken, rowdy fellow blackjack player to stressthe importance of process. He then moves on to the fundamentalprinciples of active value investing. What differentiates this bookfrom so many others on value investing is that it describessometimes through the use of case studies, the thinking of a valueinvestor. Not just his models or his metrics but his assessments.Katsenelson is an empiricist who weighs facts, looks forcontraindications, and makes decisions. He makes value investingcome alive. This may be a little book, but it's packed withinsights for both novices and experienced investors. And it is adelight to read."Seeking Alpha

Foreword xiAcknowledgments xxiiIntroduction xxiiiChapter One Fasten Your Seat Belt 1Chapter Two A Sideways View of the World 9Chapter Three Don't Shoot the Messenger 23Chapter Four Tevye Was a Rich Man 41Chapter Five What We Can Learn from Gamblers 59Chapter Six Brought to You by the Letter "Q" (for Quality) 65Chapter Seven Brought to You by the Letter "G" (for Growth) 87Chapter Eight Brought to You by the Letter "V"(for Valuation) 105Chapter Nine Add It Up 117Chapter Ten Nip/Tuck 133Chapter Eleven The Born-Again Value Investor 143Chapter Twelve Applying Darwinism to the Sales Process 161Chapter Thirteen You Are Not As Dumb--or Smart--As You Think 175Chapter Fourteen On a Scavenger Hunt for Stocks 181Chapter Fifteen Farewell, Blissful Ignorance 189Chapter Sixteen Think Different 211Chapter Seventeen I Could Be Wrong, but I Doubt It 223