Low Risk - High Profit Business Method | Dhandho Investor by Mohnish Pabrai | Book Summary in Hindi

1. Monish Pabrai 
2. High Return Low Risk Model 
3. Taleb : Anti Fragile : Focus on Elminating down-side risk 

• 1970s Patel Enter Motel Business in USA 
• 10 - 15  years dominate motel business 
• Low Cost Family Driven Operations 
• Go Deep once they dominate the operation and buy more motels 

9 rules of Investing

1. Cash Cow 
2. Reduces Unknown Risks 

1. Competitive Advantage 
2. Blue Ocean 

1. Reduced Disruption risk 
2. Stable Business 
3. Opportunity in efficiency 
4. Professional Services 

1. Not Complex Supply Chain 
2. 
   

1. Double Down once in control and understand the economics
2. Exponential Returns at scale  

• High Concentration in Portfolio 
• Kelly Formula 80 % value from Top 3 investments 
• Rakesh Jhunjhunwala  : Titan
• Warren Buffet : Coke 

1. Business where there is an inherent Arbitrage 
2. ex: Indian IT in the 90s where cost of labour was multiples lower than the west 
3. Being present in both markets [ Indian Americans ] 

1. Invest when there is blood on the streets 
2. Right time to  get entry into big Opportunities 
3. Have Cash in hand to take advantage of these opportunities 
4. Warren Buffet 2008 financial Crisis 

1. Low External Disruption 
2. Control of Key Resources 
3. Scale and Distribution 
4. Customer Acceptance