David Tepper is the founder of Appaloosa Management hedge fund. Since its inception, Tepper has been able to generate enormous returns. He has always been characterized for his clever investments. Indeed, they have made him rather unique because his strategy is based on investing in distressed companies. In a nutshell, great but underpriced businesses. That is how his company has been able to reach two-digit gains. Of course his form of investing is quite risky and he has made mistakes too.
But it is worth noting that he has always looked at troubled companies that have slumped due to market crashes. Tepper always thinks that upon their recovery, he will receive important gains. Jonathan Kolatch, a former colleague, clarifies the situation: "He takes a macro perspective on something, for instance this European sovereign crisis, which is that ‘it’s not going to be that bad. And then he takes that and applies it to a micro idea, a particular stock, as opposed to saying I’m going to do this with the currency or do this with the interest rate, which is kind of what the macro guys do. He’ll buy these particular three stocks that will reflect this macro idea."
Source: Guru Focus
Related Articles:
- Managing Risk With Dividend Stocks
- 9 Stocks With a Sustainable Dividend
- 11 Low Beta, High Quality Dividend Stocks
- Five Dividend Stocks To Buy On A Dip
- The Secret To Finding The Best Dividend Stocks
Top Dividend Stocks of David Tepper
Posted by D4L | Friday, December 23, 2011 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
When a company pays a dividend, it's a good thing for shareholders. When a company consistently pays a dividend every quarter, it's ...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.