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It may be difficult for some to envisage a major market crash in the near future, as it was not long ago since the Covid-19 pandemic triggered a free fall in global equities in early 2020.

But of late, several well-known “Cassandras” from the likes of Michael Burry, Nassim Taleb and Nouriel Roubini have rung the alarm of a devastating crash. Should their predictions prove accurate, an impending crash may be lurking around the corner and could take investors by surprise.

he re-tabling of Budget 2023 recently has seen Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim announcing the proposal to introduce capital gains tax (CGT) on the disposal of non-listed shares from 2024 onwards. The introduction of CGT could be a sign that the government may introduce more taxes on capital items in the future. But for now, retail shareholders can breathe a sigh of relief as there is no CGT on the disposal of publicly listed shares.

There have been many principles and practices in investing over the past decades. However, there is only one philosophy that can bring reliable and sustainable returns over a long period of time. It is value investing.

Value investing is an investment philosophy first introduced by Benjamin Graham in 1934 and popularised by Warren Buffett, arguably Graham’s most successful disciple. Buffett’s company, Berkshire Hathaway, has achieved a 19.8% compounded annual gain in market value for 58 years! There are other value investors with 20 to 40 years of successful records.