Very important thoughts when it comes Value investing in equities from the world famous investment experts.
1.
Investors
focus on business performance; speculators focus on price performance
2. Intelligent
investing is value investing to acquire more than what you are paying for
3. When you
sell in desperation, you always sell cheap
4. It is better
to have hen tomorrow, than an egg today
5.
It is
never your thinking that makes big money, it is sitting
6. In the
stock market, luck never gives, it only lends
7. Focus on
return on equity, not earning per share
8. An
investor needs to do very few things right, as long as he or she avoids big
mistakes
9. Market
demands conviction, as surely as, it victimizes the unconvinced
10. The
market may ignore business success for a while, but eventually it will confirm
it
11. Rational
people acting independently can produce irrational market results
12. Money is made more due to
understanding rather than information
13. Investing
must be rational, if you can’t understand it, don’t do it
14. It is better to be approximately right than
precisely wrong
15. Business
leadership alone provides no certainties in investing
16. Focus on Business rather than Business
channel
17. Valuing a
business is part art and part science
18. Behave according to what is rational rather
than what is fashionable
19. Its not at all risky to buy securities at a
fraction of what they are worth
20. Risk
comes from not knowing what you are doing
21. The best
stock to buy maybe the one you already own
22. People
tend to overreact to bad news and react slowly to good news
23. Advice
doesn’t have to be complicated to be good
24. Investment
managers are not beating the market, the market is beating them
25. Technology
alone, without a good business design, cannot generate sustained value growth
26. The
probability of outsized returns goes up, as the size of the portfolio goes down
27. When you
combine ignorance and borrowed money, the consequences can be disastrous
28. Nobody gets market timing
right even half the time
29. Be greedy when others are fearful, be
fearful when others are greedy
30. Research
before you invest, not after
31. The time to get interested in a stock is
when no one else is
32. The
market, like the Lord, helps those who help themselves
33. Investing
probably is not played best as group sport
34. Invest in companies where the odds are
great, so that you won’t be disappointed
35. Don’t
bother about the markets, figure out a business that you can understand and
concentrate
36. An
investor’s worst enemy is not the stock market, but his own emotions
37. What the wise men do in the beginning,
fools do in the end
38. There is
no formula to figure out intrinsic value of a stock, you have to know the
business
39. Making
money on free advice, is like winning lottery without buying a ticket
40. Never buy
a stock because it is low price
41. The
investor of today does not profit from yesterday’s growth
42. Don’t
expect the strategy you adopt to prove a quick success in the market place
43. Great stocks are extremely hard to find, If
they weren’t, everyone would have them
44. If you
have to go through too much of investigation, something is wrong
45. Never ask
the barber if you need a haircut
46. Don’t
confuse brains with the bull market
47. Time is a
friend of wonderful business, and enemy of the mediocre
48. I
have never met a man who can forecast the market
49. Invest in
what you know best
50. If you
cannot find an attractive idea, put your money the bank account till you get
one
51. Have the ability to differentiate few
outstanding companies from masses
52. Disregard majority opinion;
it is probably wrong
53. Sell the losers and let the winners run
54. Though difficult to practice,
thing ahead of the crowd
55. There are
only two emotions on Stock Market – fear and greed
56. Focus on
the price of the company rather than price of the share
57. Dividends don’t lie
58. Four most
dangerous words in investing “it’s
different this time”
59. When in
doubt, get out
60. Success
in stock market is being 90 percent right 70 percent of the time
61. Savings will not make you rich, only canny
investments do that
62. Managing money requires more skill than
making it
63. It is
better to take a small loss at first than a large one later
64. Stock
manias do not create wealth, they transfer and destroy it
65. In investment, understanding
is more important than information
66. If we
shopped for stocks they way we shop for socks, we would be better off
67. Long list
of securities is a sign of unsure rather than a brilliant investor
68. Own not
the most, but the best
69. In the
stock market, a good nervous system is more important than a good head
70. Wealth
creation is the art of buying a rupee for 40 paise
71. Markets test patience and reward conviction
72. Like a
basketball coach look for 7-footers among stocks
73. No stock picker has ever had
a 100% success rate
74. Disciplined
investor should be able to see hidden beauty
75. Do what
you love, money will follow
76. Time the
market at your own peril
