Money Mantras….(4)
Posted by Muthukrishnan on November 30, 2008
I’ve sent earlier 3 mails on pearls of wisdom from Warren Buffett. I’m planning to continue to do the same. However from now on, I’m also planning to include other great investment masters like Charlie Munger, Peter Lynch, Benjamin Graham, Philip Fisher, Sir John Templeton etc. in my series of Mails on the above subject. Hope you would all find this series insightful, enjoyable and rewarding.
1) Investing is simple, but not easy- Warren Buffett
2) It’s true, of course, that, in the long run, the scoreboard for investment decisions is market price. But prices will be determined by future earnings. In investing, just as in baseball, to put runs on the scoreboard one must watch the playing field, not the scoreboard. – Warren Buffett
3) In a bull market, one must avoid the error of the preening duck that quacks boastfully after a torrential rainstorm, thinking that its paddling skills have caused it to rise in the world. A right-thinking duck would instead compare its position after the downpour to that of the other ducks on the pond – Warren Buffett
4) Somebody once said that in looking for people to hire, you should look for three qualities: integrity, intelligence , and energy. And if they don’t have the first, the other two will kill you. You think about it; it’s true. If you hire somebody without the first, you really want them to be dumb and lazy. – Warren Buffett
5) Money, to some extent, sometimes lets you be in more interesting environments. But it can’t change how many people love you or how healthy you are- Warren Buffett
6) We like pessimism because we like the prices it produces. It’s optimism that is the enemy of the rational buyer.- Warren Buffett
7) I’ve seen more people fail because of liquor and leverage – leverage being borrowed money. You really don’t need leverage in this world much. If you’re smart, you’re going to make a lot of money without borrowing. – Warren Buffett
The stock market is a no-called-strike game. You don’t have to swing at everything–you can wait for your pitch. The problem when you’re a money manager is that your fans keep yelling, ‘Swing, you bum! – Warren Buffett
9) I quickly convinced myself that the true key to happiness lay in a modest standard of living which could be achieved with little difficulty under almost all economic conditions. – Benjamin Graham
10) There are two times in a man’s life when he should not speculate – when he can’t afford it and when he can – Mark Twain
(Originally drafted and sent on 25th November’08)
