Sept. 5 Forum Update: 'Quantitative Easing' Edition

1st edition of 'The Forum Update'

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Sep 05, 2017
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We are pleased to launch “The Forum Update,” a series of articles that discuss the top posts of the GuruFocus Forum each week.

Introduction

In late August, GuruFocus developed an online forum where users can share their insights through four channels: Warren Buffett (Trades, Portfolio), Investment Ideas, Books and General Discussion. The Forum Guidelines page gives detailed information about the Forum, including guidelines, user privileges and potential awards.

Each edition of “The Forum Update” will first highlight the most-discussed topic on our forum from the prior week and then summarize the latest news on Berkshire Hathaway Inc. (BRK.A, Financial)(BRK.B, Financial). Our first edition will discuss quantitative easing and its impacts on value investing.

Forum topic highlight

Investopedia defines quantitative easing (QE) as “an unconventional monetary policy” where a central bank purchases government securities from the market in order to lower the interest rate and increase the monetary supply. The thread addresses the following question regarding QE:

Should value investing be approached differently when you consider the effects of quantitative easing?

If you have further thoughts about this topic, please add them directly to the thread.

Buffett updates

Buffett celebrated his 87th birthday with several interviews about various topics, including his positions in the following stocks: Apple Inc. (AAPL, Financial), Bank of America Corp. (BAC, Financial), Home Capital Group Inc. (TSX:HCG, Financial), The Kraft Heinz Co. (KHC, Financial) and International Business Machines Corp. (IBM, Financial). The Berkshire CEO also discussed his perspective on income inequality.

Conclusions

As mentioned in our feature announcement, we want our Forum to grow over time. We encourage all users to contribute to the Forum and share with their friends. At the end of each month, we will reward the users with the top Forum posts with a copy of "Invest Like a Guru" or another value investing book of their choice.

Disclosure: The author has no postions in the stocks mentioned.