Investment principles to follow

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The only principle of timing that has ever worked well consistently is to buy common stocks at such times as they are cheap by analysis, and to sell them at such time as they are dear, or at least no longer cheap, by analysis….it requires no opinion as to the future of the market; because if you buy securities cheap enough your position is sound, even if the market should continue to go down. (Benjamin Graham)

Comment: Investors do not spend any time thinking about where the stock market indices are headed over the next few days, weeks and months. We have no method for predicting such things.
Those people who tell you that the market will do this or do that are not investors. They are rather ignorant speculators, and could even be charlatans.
Investors analyse companies.
They have principles that guide them………………
If you can’t convince yourself “when I’m down 25%, I’m a buyer” and banish forever the fatal thought “when I’m down 25% I’m a seller” then you will never make a decent profit in stocks. (Peter Lynch)
Comment: Peter Lynch, who ran the Magellan Fund at Fidelity for many very successful years, learned early on that the crucial thing in investment is to conduct thorough analysis at the outset, and to continue to develop the depth and breadth of that analysis once you hold a share.
This will greatly boost self-confidence in……..
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