The 3 Most Timeless Investment Principles

Last post 10-10-2007 5:53 AM by maryals. 8 replies.
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  • 10-08-2007 11:39 AM

    The 3 Most Timeless Investment Principles

    This is one of the most valuable article I found in my research. So I thought to share it with you all as it is worthy. Hope this article will help you to take same good decisions in investing.

    It's overall theme is :

    Principle 1 :

    Always Invest with a Margin of Safety.

    Principle 2 :

    Expect Volatility and Profit from it.

    Here are two strategies that suggested to help mitigate the negative effects of market volatility:

    a)   Dollar-Cost Averaging.

    b)   Investing in Stocks and Bonds.

    Principle 3 :

    Know What Kind of Investor You Are.

    i.e;        a) Active Vs. Passive.

                 b) Speculator Vs. Investor.

    1. Speculators are typically sophisticated, high risk-taking investors with expertise in the market(s) to which they are trading and will usually use highly leveraged investments such as futures and options.
  • 10-08-2007 11:51 AM In reply to

    The 3 Most Timeless Investment Principles

    and remember "Fear causes you to panic an sell at the bottom, while greed motivates you to buy at the top."
  • 10-08-2007 12:03 PM In reply to

    The 3 Most Timeless Investment Principles

    You're right  frustrated !

    Because of fear sometimes I sold the stocks when they are in bottom only where there is a chance to go much up.

  • 10-08-2007 12:06 PM In reply to

    The 3 Most Timeless Investment Principles

    great post!!!
  • 10-08-2007 12:07 PM In reply to

    The 3 Most Timeless Investment Principles

    good info
  • 10-08-2007 12:18 PM In reply to

    The 3 Most Timeless Investment Principles

    don't forget: beleve in your abilities
  • 10-08-2007 2:55 PM In reply to

    The 3 Most Timeless Investment Principles

    Thanks
  • 10-08-2007 3:53 PM In reply to

    The 3 Most Timeless Investment Principles

    great blossom....thanks
  • 10-10-2007 5:53 AM In reply to

    The 3 Most Timeless Investment Principles

    Thanks Blossom :) In the Real World I LOVE Dollar Cost Averaging. For six years Dollar Cost Averaging was very very good to me :)
    Then Medical bills piled up and I had to cash out :( Glad I HAD those great Stocks.
    Thank you,
    MaryAlice
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