Important principles presented in 17 smart money sayings. These clever people share their wisdom in an astute, concise, and entertaining manner.
1. All intelligent investing is value investing – acquiring more than you are paying for.
2. Never count on making a good sale. Have the purchase price be so attractive that even a mediocre sale gives good results.
3. Anything is possible, and the unexpected is inevitable. Proceed accordingly.
4. It’s one of the most important things at the end of the day; being able to say no to an investment.
5. Value investing is risk aversion.
6. Bottoms in the investment world don’t end with four-year lows; they end with 10 or 15 year lows.
7. Markets can remain irrational longer than you can remain solvent.
John Maynard Keynes
8. Spend at least as much time researching a stock as you would choosing a refrigerator.
9. When you find yourself in a hole, the best thing you can do is stop digging.
10. In prosperity prepare for a change; in adversity hope for one.
11. He who asks is a fool for five minutes, but he who does not ask remains a fool forever.
12. A portfolio that goes down 50 percent and comes back 50 percent is still down 25 percent.
13. Knowledge talks, wisdom listens.
14. Those who fail to prepare are prepared to fail.
15. When everyone rushes to one side of the boat, head to the other side to avoid getting soaked.
16. Only the wisest and the stupidest men never change.
17. When the character of a man is not clear to you, look at his friends.
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