Thursday, October 25, 2007

Installment #7 - Do the due diligence

Hi Frenz,

I continue to write though the low response levels (or) feedback from you guys have brought down my motivation levels.

This is what I would call it as a framework for due diligence. Before you invest in a company spend a few hours collecting all this information. Here is a sample "Due diligence" that was done by me for "Infosys".

The good thing about doing this is that you get to learn a lot of macroeconomic perspectives. Also, the information that you collect about the sector could be reused for other companies in the same sector