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How value investor Chou wins with bonds

By SilverSlime on Mon, 2008-03-17 10:58
(via www.theglobeandmail.com)

Mr. Francis Chou’s method can be boiled down to a few principles. As he wrote in his 2007 report to unitholders, “the cardinal principle of investing is to think first about preserving capital before thinking about making money. The greater the probability of permanent loss of capital, the greater the spread should be between a particular debt instrument and risk-free treasuries.”