Margin of Safety

below intrinsic value to protect against errors and the unforeseen.

The core idea

below intrinsic value to protect against errors and the unforeseen.

at extremes of safety and risk, avoid the mediocre middle.

have an edge in some domains and not others — and the boundary between the two i

equals future cash flows discounted to present value.

is profiting from a price difference for the same or equivalent asset across mar

upside is a payoff structure where the best-case gain is large relative to the w

of capital is the minimum return a company or project must earn to justify using