I very much enjoyed my conversation on Benzinga’s PreMarket Prep show with Benzinga’s founder and CEO, Jason Raznick, and editor and producer, Spencer Israel.

We discussed my views on auto stocks and the favorable dynamics of the American auto industry today. We also chatted about the potential impact of self-driving vehicles on the industry in general.

Here is the link to the recording: https://soundcloud.com/bztv/a-conversation-with-legendary-investor-mohnish-pabrai

‍If you prefer to read, feel free to have a look at these two articles which summarize our conversation:

‍https://www.benzinga.com/general/hedge-funds/17/03/9114261/why-this-buffett-disciple-put-more-than-half-his-portfolio-in-stoc‍

‍https://www.benzinga.com/general/hedge-funds/17/03/9114779/when-will-we-see-fully-autonomous-vehicles-this-famous-hedge-fund-

‍Enjoy!

I co-wrote this article in Forbes on an investment strategy called the “Shamelessly Cloned Portfolio.”The shameless portfolio comprises of five of the highest conviction ideas of 9 value managers whom we shamelessly clone. Like the Small Dogs of the Dow and Uber Cannibals, we set it and forget it. I will publish the list of the top Shameless Cloned Ideas for a particular year on my blog on January 1 each year.

For 2017, even though it’ll be a partial year, one can buy the 2017 picks anytime. After that, rebalancing should occur right after January 1.

‍The Shameless Portfolio for 2017 contains:

1. Oracle (ORCL)
2. Berkshire Hathaway (BRK-B)
3. Apple (AAPL)
4. Microsoft (MSFT)
5. Charter Communications (CHTR)

We’ve laid out all our algorithm rules below.

One can begin testing this strategy with a small portion of one’s networth and do it through a great broker like Interactive Brokers with commissions under $3/trade for small quantities. We hope you’ll join our merry band of shameless cloners.

You can view the article here:

‍https://www.forbes.com/sites/janetnovack/2017/02/22/beyond-buffett-how-to-build-wealth-copying-9-other-value-stock-pickers/#7645cf00eaf9

‍I co-wrote the article with Fei Li, a talented quant at Dhandho Funds.

Enjoy!

Note, anyone who invests in any strategy needs to do their own research/due diligence and are themselves fully responsible for the outcome. ​

                                      Appendix: Shameless Cloning Portfolio Rules

‍Selection Criteria:

1. No utilities, no REITs, no oil and gas exploration, no metals and mining and no multiline retailers.
2. Positive trailing-12-month net income

Rebalance Methodology:

• Rebalance on Dec 31st of each year.
• The old companies that are not in the new portfolio are sold. The “sell money” is accumulated and distributed equally among all new entrants.
• If the same company is present in our portfolio for another year, then we leave it unchanged i.e. no rebalancing trades.
• Dividends are reinvested into the same company that paid it.
• If there is an involuntary removal through acquisition/delisting/bankruptcy then the cash is distributed equally among the remaining cloners.
• If there are any spin-offs, the shares are sold and reinvested in the parent.​

‍

Saving the first dollar you earn, versus saving what is left after you spend, is always a smart way to go. And making it automated is key. Set it and forget it!

A new smartphone app, Stash allows you to automatically save as little as $5/month and then immediately invest the same in Berkshire Hathaway Class B shares. They’ll even buy fractional shares with no trading costs. The B shares are changing hands these days at about $164/share. If you send Stash $5, then they’ll buy you 5/164th of a B share. Stash does charge $1/month or 0.25% annually, whichever is higher.  

Another one, Acorns, rounds up your credit card purchases to the nearest dollar and saves the difference. You can have the pennies that Acorns vacuums up go into a savings account. And you can have Stash periodically move those savings into Berkshire.

My friend, Jason Zweig, wrote an interesting piece on Stash, Acorns and a third one, Digit in his column “The Intelligent Investor” in the Wall Street Journal past weekend:

‍http://jasonzweig.com/inching-your-way-toward-wealth-with-your-phone/
‍

​When you buy that latte at Starbucks for $4.27 every day, it adds up. Taking those 73 cents every day and automatically investing them is such a no-brainer.

I thoroughly enjoyed my talk to the University of Puerto Rico MBA students in San Juan, Puerto Rico on Sept. 26,2016 where I discussed three mental models in the spirit of Charlie Munger’s latticework of mental models.

The three models include

• The Power of Truth: Commit to candor, however painful or uncomfortable it may be. Being relentlessly truthful (and avoiding “white lies”) will strengthen your relationships with those around you in the long run.
• Compounding is the 8th Wonder of the World: Resist the temptation to pull money out of compounding accounts like 401(k)s; instead, leave them and let them compound over the longest runways possible.
• Dhandho Entrepreneurship: Take advantage of extracurricular time at your full-time job to first test your start-up ideas before quitting your day job to become the next Elon Musk. If you fail, you’ll still have a job. Heads you win, tails you don’t lose much!

Enjoy!

​https://www.youtube.com/watch?v=FO5V7jcBNMM

Preston Pysh recaps Stig Brodersen and his discussion with me in this article. If you prefer to read versus listen, feel free to check out the transcript of the recent podcast here:

http://www.forbes.com/sites/prestonpysh/2017/01/16/mohnish-pabrai/#4ec2d4642b49

‍Enjoy!

The interview host is an investor in Pabrai Funds and therefore has a financial interest in the funds’ performance, which creates a potential conflict of interest. The host was not compensated for this interview. The views expressed are those of the host and Mohnish Pabrai and do not constitute investment advice or a recommendation to invest.

I very much enjoyed doing this podcast with Preston Pysh and Stig Brodersen. Both are great guys who do a great service to the Value Investing Community. Thanks guys!

In this second part interview, Preston and Stig discuss some of the finer details of my investing approach.  Recently, the airline industry has had enormous amounts of market consolidation and a few stocks seem to have favorable valuations.  We had discussions on these potential opportunities and what are the long term prospects of these opportunities.

‍In this episode, we talked about:

• My recent investment in Southwest Airlines.
• My biggest investment mistake, and how I made more than $100 million because of it.
• If Warren Buffett and Charlie Munger consider any macro decisions in their investment approach.
• Why the airline industry is a terrible sector, but might still be a great investment at the moment.

https://www.theinvestorspodcast.com/tip121-pabrai-funds/

Enjoy!

The interview host is an investor in Pabrai Funds and therefore has a financial interest in the funds’ performance, which creates a potential conflict of interest. The host was not compensated for this interview. The views expressed are those of the host and Mohnish Pabrai and do not constitute investment advice or a recommendation to invest.

I very much enjoyed doing this podcast with Preston Pysh and Stig Brodersen. Both are great guys who do a great service to the Value Investing Community. Thanks guys!

‍In this episode, we talked about:

• How I accumulated business knowledge from the age of 11
• What special advantages people like Bill Gates and Warren Buffett had to become so successful
• How I had set up and ran a business like Warren Buffett and Charlie Munger
• Why investing is not a team sport

​https://www.theinvestorspodcast.com/the-dhandho-investor-mohnish-pabrai/​​

Enjoy!

The interview host is an investor in Pabrai Funds and therefore has a financial interest in the funds’ performance, which creates a potential conflict of interest. The host was not compensated for this interview. The views expressed are those of the host and Mohnish Pabrai and do not constitute investment advice or a recommendation to invest.

I very much enjoyed my chat with Latha Venkatesh at The Charles T. Munger Hall in Bengaluru for CNBC – TV18.

It covers Buffett, Trump, Dakshana Foundation, Demonetization, Investing in India and what to look forward in 2017.

‍https://m.youtube.com/watch?v=6fkDLax_RmMhttps://m.youtube.com/watch?v=IfzgWbyAE4Q

‍Enjoy!

Here is the transcript of the interview​:

‍‍http://www.moneycontrol.com/news/market-outlook/see-trump-making-deals-that-benefitworld-mohnish-pabrai_8170961.html

I co-wrote an article in Forbes on an investment strategy called "The Uber Cannibals."

Uber Cannibals are  companies that aggressively buy back their own stock. I will publish the list of the top Uber Cannibals for a particular year on my blog on March 18 each year.

If you choose to pursue the strategy of investing in Uber Cannibals, you can either start with these 2016 Uber Cannibals now and then rebalance at March 20, 2017, or wait until March 20, 2017 to start investing in the new list of 2017 Uber Cannibals then.  

‍The Uber Cannibals for 2016 are:

1. AutoZone (AZO)
2. Magellan Health (MGLN)
3. Marriott International (MAR)
4. NVR (NVR)
5. Lowe’s (LOW)

This is a "set it and forget it" strategy. I'd suggest not putting more than 10% to 20% of your nest egg in this strategy. It only makes sense if you intend to follow it for at least a decade or two or longer. The ideal straetgy is in your IRA. That way, there are no realized gains to worry about.

You can view the article here:

‍http://www.forbes.com/sites/janetnovack/2016/12/22/move-over-small-dogs-of-the-dow-here-come-the-uber-cannibals/#2c38ff233dea

‍I co-wrote the article with Yingzhuo Zhao, a talented quant at ​Dhandho Funds.

Enjoy!

Note, anyone who invests in any strategy needs to do their own research/due diligence and are themselves fully responsible for the outcome.

I thought you would be interested in the following story from Barron's.

Mohnish Pabrai Thinks GM, Fiat, Southwest Air Look Like Bargains

‍http://www.barrons.com/articles/why-mohnish-pabrai-likes-gm-fiat-and-southwest-air

‍Enjoy!