People who have had success in other parts of their lives have difficulty accepting how much failure there is in the stock market.
-
In investing, where doing nothing often prevents blunders, a certain style of laziness is adaptive, but mental laziness isn’t, and not thinking independently is absolutely toxic.
Back to top. Source: Link
-
Call it humility, call it honesty with yourself, but failing to admit to investment mistakes means failing investing.
Back to top. Source: Link
-
The best investors I’ve seen all have an above-average ability to change their mind.
Back to top. Source: Link
-
I don’t think it’s productive to wallow in regret. But if you’ve lost money in a stock and you don’t learn anything, that’s wasted money. Figure out what it is that you did wrong and don’t do it again.
Back to top. Source: Link
-
Stoic detachment combined with emotional awareness is the perfect combination for stocks. Feel the fear, but let reason decide.
Back to top. Source: Link
-
Sadly, on Wall Street, rewards for acting with self-interest and to disadvantage public shareholders often prove to be too tempting.
Back to top. Source: Link
-
The generally accepted theory is that financial markets tend towards equilibrium, and on the whole, discount the future correctly. I operate using a different theory, according to which financial markets cannot possibly discount the future correctly because they do not merely discount the future; they help to shape it.
Back to top. Source: Link
-
Financial markets are inherently unstable; stability can be maintained only if it is made an objective of public policy. Moreover, instability is cumulative.
Back to top. Source: Link
-
We start with the assumption that the stock market is always wrong, so that if you copy everybody else on Wall Street you’re doomed to do poorly.
Back to top. Source: Link
-
I start with the assumption that the market is always wrong and that there is a divergence between the way people look at a situation and what the situation is.
Back to top. Source: Link
-
In the stock market one quickly learns how important it is to act swiftly.
Back to top. Source: Link
-
There is a tendency to look to the past and say, these things have done well and therefore that’s the way you should invest — as opposed to saying where are the greatest investment opportunities going forward.
Back to top. Source: Link
-
Our view is that reasoning from the macro to the micro tends to be very dangerous.
Back to top. Source: Link
-
One of the markers, in my opinion, of a high future return is where the worst rate of return has been during the preceding five or six years.
Back to top. Source: Link
-
The investor is bombarded with staggering amounts of information, staggering amounts of stimuli that are designed to get the investor to buy and sell and trade, to do exactly the wrong thing, to create excessive profits for these intermediaries that aren’t acting in the investor’s best interests.
Back to top. Source: Link
-
Our approach can be summarized with the phrase “lowest average cost wins.”
Back to top. Source: Link
-
Stocks tend to bottom when the earnings bottom, or when the fundamentals bottom.
Back to top. Source: Link
-
It’s much more stressful to me when the market’s soaring and everybody’s excited, and everybody’s talking about how much money they’re making.
Back to top. Source: Link
-
Regardless of yield, when investments are absent of value, cash is always a better option than permanently losing money.
Back to top. Source: Link
-
We believe that if a market is so overvalued that you can only find a few stocks to buy, you are probably better off not buying anything.
Back to top. Source: Link
-
The people who tell you the world will end are the ones who die off while the world keeps going.
Back to top. Source: Link
-
So many investors today focus on earnings, but I focus on assets and don’t try to predict next months’ earnings, which is a much more difficult approach to investing.
Back to top. Source: Link
-
We’re bottom-up investors. We always have to operate on negative macro assumptions.
Back to top. Source: Link