Ask anyone who has achieved financial freedom, none of them achieved it through employment. They did it through investment. Some business teachers refer to it as letting your money work for you. Since many who are employed desire this, they try investing in one company after the other. Some become successful and rich in no time while others fail terribly.
The difference between those who fail and those who succeed is in the information they receive. In order to decide which company to invest in, an investor needs to have information about the company. For instance, what is their financial strategy? What are their fundamentals? What is their payment strategy?
Some companies intentionally deceive investors by feeding them wrong information. Instead of giving potential investors information on how they will profit from their investment, they hype the profits investors will be able to gain from the investment. This is misleading. If the company does not have good strategies, the investment will not be profitable in the long run.
Sahm Adrangi is an investment manager who focuses on fundamentally oriented investments. He is the founder of Karissdale capital, an investment firm based in New York. Kerrisdale focuses on long term investments and event driven situations. They also share investment insights with their clients through their website. As of December 31 2008, Kerisdale manages assets worth over 1.2 billion US dollars.
Mr Sahm Adrangi is known to publish negative reports on companies that over hype their investments. Every time he declares his short stand on a company and its price falls, his company stands to gain. His main aim in doing this is to save the investor from losing money in the long run. The negative report he gave on Kodak at the beginning of the year for instance, explained the flaws in the information given to investors. Since the company lacked good fundamentals, those who invested would suffer loss in the end. Recently, Mr Sahm Adrangi issued a negative report concerning Proteostasis Therapeutics, Inc.
In issuing negative reports on companies that overhype their stocks, Sahm Adrangi has been a great help in streamlining the investment industry. Companies and stock brokers now have to be keen on the information they give their potential investors. Other that just talking about the money investors may make, they have to take care of how the investors will benefit in the long run.