Thursday 15 January 2015

Wisdom on Value Investing: How to Profit on Fallen Angels Summary - Chapter 3

 Successful investors buys bargain

·         Successful investors buys bargain:
a.       Smart investor stays calm and waits patiently for the incredible deals that are certain to come along. The superstar investors always look to buy when the market is down.
b.      The best time to buy a stock – or anything else – is when no one else wants them. And the best time to sell is when everyone is clamoring for what you have.
c.       Buy when everyone is complaining (i.e., panicking), and sell when they are celebrating (i.e., overly optimistic).

·         Consistently successful investors have:
a.       Self-discipline to resist the pushes and pulls of the market.
b.      Make decisions based on well-researched and clear-eyed reasoning.
c.       Learned to distinguish the true losers and winners.

·         Successful investing requires you to be skeptical of what everyone seems to know at that time, including investment soothsayers of all stripes.


·         To make any meaningful money in the financial markets, real estate, or a business, you need to think and do things a little differently from the crowd.



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