November 4, 2024

“Knowing that the market is flawed but hard to beat is a vital mental model in our tool chest. As an investor, you should ask yourself if you can bear experiencing lower returns than the market for long periods.”

4:31 AM

“What’s most important is (a) to have a strategy and (b) to stick with it. Discipline and patience are two of the most important determinants of successful investing.”

4:31 AM

“concentrate their assets, usually in a single company. This increases the chances of winning big if their one big bet pays off.”

4:31 AM

“tolerate a high level of risk: their success or failure depends on their company. If it takes off, they are rich; if it flounders or fails, they aren’t.”

4:31 AM

“are obsessed: they invest almost all their time and talent in their business. Building the company is their singular focus and takes over much of their lives.”

4:31 AM

“strategies for preserving wealth are largely the opposite of those for generating it (see T”

4:31 AM

“Lower the overall level of risk by reducing leverage and building a margin of safety by allocating to bonds and cash.”

4:31 AM

“Mitigate the effects of luck by following a disciplined investment process. Setting portfolio strategy and rebalancing are e”

4:31 AM

“Preserving and smartly growing wealth requires a mindset and discipline that avoid huge losses.”

4:31 AM

“and strategies that provide long-term outperformance always deliver some underperformance along the way”

4:31 AM

“Luck plays a big role in investing, so we shouldn’t read too much into good or bad results over short periods”

4:31 AM

“Beating the market requires investing differently than the market, which requires great heart and discipline. If you choose to break off from the herd, it’s essential to stick with your strategy through the inevitable ups and downs.”

4:32 AM

“it’s difficult to spot a trend early, (2) trends don’t always turn out as imagined, and (3) it’s difficult to find a successful needle in a haystack of competitors.”

4:04 PM