How Benjamin Graham Made His First $1,000,000

Рет қаралды 115,536

Күн бұрын

This is the story of how Benjamin Graham, the “father of value investing” and the mentor & teacher of the most successful investor ever, Warren Buffett, made his first $1,000,000. Graham accomplished this during the worst bear market in history. Even though most of this story take place almost a century ago, surprisingly many of Graham’s actions and ideas can be applied in the ambitious persons’ own journey towards financial freedom today. Let’s dive in!
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Timestamps for Graham’s journey to that first million:
00:00 Intro
00:49 Graham the Grossbaum (1894-1915)
02:00 Graham’s First Taste of Mr. Market (1907)
02:47 Graham the College Graduate (1914)
04:15 Graham and Antisemitism (1914-1915)
04:55 Graham and Wall Street (1914-1956)
05:58 Graham & Newburger (1914-1923)
08:30 Graham & the Antithesis of Value Investing (1916-1923)
09:35 Graham the Money Manager (1916-1956)
10:38 Graham the Junior Partner (1920-1923)
11:30 Graham + Harris = Grahar (1923-1925)
13:50 Graham & the Joint Account (1926-1935)
15:08 Graham the Teacher (1927-1956)
15:46 Graham Just Shy of $1,000,000 (1929)
17:31 Graham Flying too Close to the Sun (1929-1932)
19:20 Graham’s “Call to Arms” (1932)
20:21 Graham & Security Analysis (1934)
21:07 Graham & the Graham-Newman Corporation (1936-1956)
22:47 Graham’s 4 Market Beaters (1946)
28:11 Graham, the Intelligent Investor (1949)
29:47 Graham & GEICO (1948-1972)
31:40 Graham the Millionaire (1953)
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My goal with this channel is to help you make more money and improve your personal finances. How to become a millionaire? There are many ways to get there - investing in the stock market, becoming a stock trader, doing real estate investing, or why not becoming an entrepreneur? But whether you are interested in how to invest in stocks or investing strategies for creating passive income with rental properties - I hope to be able to provide you with a solution (or at least an idea) here. Warren Buffett - the greatest investor of our time - says that you should fill your mind with competing ideas and then see what makes sense to you. This channel is about filling your mind with those ideas. And in the process - upgrading your money-making toolbox.

Пікірлер: 78

@Hylin79 Жыл бұрын

I looked up the median US income in 1953, it was $3200, so $1M in 1953 was about 312x median income. Median income in 2023 is about $80,000, the equivalent of Graham's $1M achievement in terms of wage income would be about $25M, more than double the inflation adjusted comparison of $11.3M. Awesome video as always, the research done for videos and the way you present them in simple drawings are so enjoyable to watch.

@TheSwedishInvestor Жыл бұрын

An interesting alternative comparison Hylin! Cheers for that and for your support 🙌

@Jessersadler Жыл бұрын

but it's how the money spends. All your comparison shows, is that people in general are way less poor

@thegamerboneless2864 Жыл бұрын

Mr value investor, I don’t think I would be me without these men, Mr, Graham, Mr munger, Mr lynch, and Mr Buffet,Mr fink, their are a few, but the knowledge these men gave us, just brilliant humans.

@tsonez 11 ай бұрын

Great video summary. Thank you! (Wish I had that book.)

@paavib Жыл бұрын

Your videos are insightful and at the same time hilarious ,Love the way you explained difficult subjects in simple manner , Thank you for doing this

@shynnsup8383 Жыл бұрын

Hi Swedish Investor, I was wondering if you could do a video on bond selection... I read about Graham talking about asset allocation on 50/50 or even 25/75 stocks vs bonds. For stocks you can look at annual reports, financial data and managing, but for bonds what do you look for? Which bond is better to choose over another and why? Any advice on this? Maybe some reading material you can recommend? Thank you.

@anandverma157 Жыл бұрын

Hi, The Swedish Investor. Absolutely love your videos. Binged watched most of them. Could you please recommend the tools you use for your videos, especially for the whiteboard animation, if you don't mind? I have been thinking of creating similar videos for my students, for different subject ofcourse.

@RATsnak3 Жыл бұрын

In the words of Benjamin Graham, "The intelligent investor dreads a bull market, since it makes stocks more costly to buy. And conversely (so long as you keep enough cash on hand to meet your spending needs), you should welcome a bear market, since it puts stocks back on sale." The worst bear market in history is the greatest sale on stocks in history. It really is no wonder someone was able to make bank at a time like that.

@claahimaxamedclaahi221 9 ай бұрын

@Financial-Education101 Жыл бұрын

An investment operation is one which, upon thorough analysis, promises safety of principal and an adequate return. Operations not meeting these requirements are speculative -Benjamin Graham Great video 👍

@RepairApp 6 ай бұрын

Can you create a video on how you screened for the companies that are available for less than their met assets - the list you featured in the video. Thank you

@lifeofkarthi Жыл бұрын

this is your best video till date.. amazing !

@redKheld Жыл бұрын

The best KZfaq channel you'll ever watch on investing.

@amirbararsani7067 Жыл бұрын

"There's never been another bear market like 1932" [Cries in Crypto]

@vincentnaldal1720 Жыл бұрын

Love your videos especially the ones like this, i have been reading/listening the first 3 and currently the 4. Of your book recommendations. I even tried to have a look at the moderna company (medical) and tried looking bit on when it was to cheap and expensive. Though i had a hard time sometimes understanding what thinks meant in the financial statements, even after your video. Can you make another video or add a book to your recommended reading list video with more in depth accounting as it also can be a challenge when reading the other books. Otherwise little recommendation just for me would be very appreciated. ❤

@TheSwedishInvestor Жыл бұрын

Hey Vincent Naldal, cheers for the support! I might do more videos about accounting, although there are a few on the channel already. The best book on the subject is probably Security Analysis, but it's a really tough read. For people who are newer to financial statements, I would suggest "Warren Buffett Accounting Book: Reading Financial Statements for Value Investing"

@vincentnaldal1720 Жыл бұрын

@@TheSwedishInvestor thank you, i will certainly pick that up. Looking forward to reading security analysis, someday also.

@MrWho-vb6hg Жыл бұрын

So what is the next geico or netflix or tesla that still small but have the limited down with maximum up?

@Trooperos90 Жыл бұрын

Thank you

@bobbyprasaddas7694 Жыл бұрын

How are you making such beautiful videos ? What tools are you using. I am genuinely interested

@shynnsup8383 Жыл бұрын

Is security analysis worth reading if I have read Intelligent Investor and The interpretation of financial statements?

@maalikserebryakov 4 ай бұрын

do you think graham would write a book for no reason Lol

@shynnsup8383 4 ай бұрын

@@maalikserebryakov Selling the book is enough reason to write it. Now if its worth reading 900 pages is another story. 'Lol'

@stlouisix3 Жыл бұрын

Additionally, that was when $1000000 was worth far more money🎉🎉💲📈

@gormenfreeman499 Жыл бұрын

Back then you could buy like a hundred houses with a million.

@HeThinksThatIThink Жыл бұрын

@The Swedish Investor it doesn't feel right without your signature pronunciation "Benjamin Gray-Ham" 😉

@TheSwedishInvestor Жыл бұрын

I've been going to a speech therapist for months 😉

@roel250 Жыл бұрын

22:30 Bennie Graham invented the pump&dump???

@hristolakov3563 Жыл бұрын

Lovely. Thank you.

@wizardmap1108 Жыл бұрын

In a world where success in the financial arena usually feels out of reach, particularly for low-income employees, it's imperative to recognize that building wealth and achieving financial freedom is feasible for everyone, regardless of income level. By using realistic strategies that are tailored to their own needs, low-income people can pave the way to a more optimistic financial future.

@RATsnak3 9 ай бұрын

If you think Benjamin Graham is a good example of that, think again. In the words of Benjamin Graham, "The intelligent investor dreads a bull market, since it makes stocks more costly to buy. And conversely (so long as you keep enough cash on hand to meet your spending needs), you should welcome a bear market, since it puts stocks back on sale." The worst bear market in history is the greatest sale on stocks in history. It really is no wonder someone was able to make bank at a time like that.

@valuabletips560 Жыл бұрын

How do you check for what type of bonds the company held? Do you have to read it's annual statement?

@samuelwhite7856 Жыл бұрын

yep

@TheSwedishInvestor Жыл бұрын

If you a referring to the Northern Pipe Line example in the video, I didn't check the bonds myself to be able to judge the validity of saying that they were "high-grade". This statement comes from Graham's memories or Janet Lowe's book, not sure which one, maybe both. In general though, yes, you'd need to check the 10-Ks or similar. I'm not familiar with the exact requirements of this, but you can typically find the information you are looking for in the notes associated with the balance sheet. For example, in Apple's latest 10-K there's the following: _Note 3 - Financial Instruments Cash, Cash Equivalents and Marketable Securities "The following tables show the Company’s cash, cash equivalents and marketable securities by significant investment category as of September 24, 2022 and September 25, 2021 (in millions):"_

@spec404 Жыл бұрын

Hello swedish investor I love your content 👍 I'm a 17 year old entrepreneur who has watched every video. I own almost every book you have talked about on this channel and am truly passionate just like you thanks for the new video as I will gladly watch

@ciaoatutti11111111 Жыл бұрын

6:20 but we could still have his suggestions live.. Would not have mind

@TheSwedishInvestor Жыл бұрын

Haha, that's a good point E.C.! 😂

@bagusaryosutikno9694 Жыл бұрын

New konten, very good.

@johnl.7754 Жыл бұрын

Think in videos the numbers mentioned should be adjusted for inflation and given todays value.

@silverygold.6118 Жыл бұрын

great video thank for this, could you do a similar video with peter lynch, another stock market legend?

@TheSwedishInvestor Жыл бұрын

Cheers, thanks a ton for the support! It's a great idea silVerY GOLd.! I'm not sure how well Peter Lynch's journey to the first million has been covered, if there's enough material out there to base a video on, but I can look into it 👍

@handroidcool3532 Жыл бұрын

Thanks

@MartinVit1997 Жыл бұрын

do you have patreon?

@bmohamed3213 Жыл бұрын

didn't watch it yet, hopefully its amazing

@CryptoParre Жыл бұрын

How long does it take to animate these videos?

@wonder_of_y0u 13 күн бұрын

Where can I learn about stock market man

@tonycrabtree3416 Жыл бұрын

12 bucks per week was what my dad made in the 50s, so yeah Benji Graham was doing GREAT in the 1910s.

@juanfernandez3633 Жыл бұрын

feel very much like graham in my life right now. the ups and downs. hopefully we'll all come out ahead in the long run

@mbods5705 Жыл бұрын

13:48

@Onthe9thlife3730 Жыл бұрын

Wow, comments have been bot spammed about a fruit place 😑😮‍💨 as if that's going to make people want to take a look at it.

@jeongseung6469 Жыл бұрын

Stock is the oldest online market we have, we employed it because of the highest quality of services it renders and how successful it is. Today we say cryptocurrency too, all I'm saying us that people should also invest in crypto. It would be helpful.

@Michael_NV Жыл бұрын

18:55

@Papa1P3RCY Жыл бұрын

Woot! ❤️💫

@thenorwegianinvestor Жыл бұрын

Pretty good video for a swede 👍

@maggot1234 Жыл бұрын

his first job was in wall street

@tyjameson7404 Жыл бұрын

Nobody talks about alll his loses in paying off mistresses and prostitution 👍🙏💪🏾🙌🏾🇺🇦💣👊🏽✝️we shouldn’t judge him, he was an amazing investor 👍

@george6977 Жыл бұрын

Wall Street closed for 5 months in 1914. Why?

@brianwest7344 Ай бұрын

Americans 🙄 You realise WWI started in 1914 and not 1918 when you lot joined ?

@Oskar-S- 29 күн бұрын

1m$ 1930 is about 18m today

@michaelijeh627 Жыл бұрын

Although the Intelligent Investor gets a lot of love, Graham's sub-strategy approach to investing is the real secret to his success that the top hedge funds still use today. Great video!

@boratsmagadijev940 Жыл бұрын

Great cover

@mrlolmaster1019 Жыл бұрын

LOL He was born in London but Died in France, but he was American, make that make sense

@knowledgeseeker5499 Жыл бұрын

Awesome video ❤this video won my subscription to your channel and bell 🔔 button alerts

@bennyvegas3106 4 ай бұрын

Hi I m him yes

@Kurt5Dobson Жыл бұрын

With changes in the economy leading to instability in the stock market, some individuals may face a decrease in their investments in an effort to benefit from the current market conditions, I am considering liquidating my $725k portfolio consisting of bonds and stocks. Someone else in the same situation? Please tell me in the comments!..

@Kurt5Dobson Жыл бұрын

@Joseph Green I have been exploring the possibility of utilizing advisors to help navigate the stock market during these uncertain times. However, I am still evaluating their potential effectiveness in providing the support I need.

@Kurt5Dobson Жыл бұрын

@Joseph Green I was considering changing my investment strategy and planning to sell certain positions. As my retirement is coming soon,I became increasingly stressed. After thoroughly researching Christy Vallen D'souza on internet, I concluded that I had made an informed decision. Thank you for this Pointer. She seems very proficient and flexible. I booked a call session with her too.

@Ur_clickbait_is_trash Жыл бұрын

So he got experience and got lucky once and became a millionaire.😂

@varsha4248 Жыл бұрын

Not up to your quality

@TV-ph1tw 7 ай бұрын

said and done; agreed; it's over and done with;

@valuabletips560 Жыл бұрын

I screened for those 2 companies you highlighted too, it seems to me that they only recently turned a profit, not necessarily a good investment, so far in the us market I could only find stla stellantis which has good cashflow throughout it's last 10 years

@TheSwedishInvestor Жыл бұрын

Hey ValuableTips! I didn't go in-depth on any of those companies, so it's not a recommendation or anything. Just a comparison with the 1932 situation.

@enchainedprometheus Жыл бұрын

"Imagine that take whatever number you have in your portfolio and imagine someone just ripping away 90% - oh the horror! " - quick check to my crypto portfolio where many positions still open since early 2021... yep, still in -85% At least I've watched a lot of your videos.

@TheSwedishInvestor Жыл бұрын

Haha, ouch! I wish you good fortune going forward enchainedprometheus, maybe try some value investing instead? 😉

@enchainedprometheus Жыл бұрын

@@TheSwedishInvestor thank you, I've learned a lot of since. This was my very first bear market, luckily avoided to be bankrupt. Hopefully my portfolio will recover in the not to far future.

@Jonathan-ez8tq Жыл бұрын

The point everyone is missing is that these guys became rich not on investing, but when owning a company.

@danmchardy6424 Жыл бұрын

@@enchainedprometheus next time try speculating when the asset is at a massive discount, such as now for example