Investment Principles from the Greatest Investors

👔🧠 Charlie Munger

Management Quality Matters

Show me the incentive and I'll show you the outcome. Never, ever, think about something else when you should be thinking...

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📌🧠 Charlie Munger

Seek Durable Advantages

I don't invest in what I don't understand. And I don't invest in things where I can't see durable competitive advantages...

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📌🧠 Charlie Munger

Fish Where the Fish Are

A man who wants to catch fish needs to go where there are fish. A man who wants good investments needs to go where there...

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📊🧠 Charlie Munger

Simplicity in Stock Picking

If it's too hard, pass on to something else. I don't have to make money in every game. I just have to find a few good op...

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📈🧠 Charlie Munger

Market is a Voting Machine

In the short run, the market is like a voting machine, tallying up which firms are popular and unpopular. But in the lon...

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📈🧠 Charlie Munger

Ignore Market Noise

It is in the nature of stock markets to go way down from time to time. There's no system to avoid bad markets. You can't...

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📈🧠 Charlie Munger

Market Pendulum Swings

The market is always making mountains out of molehills and molehills out of mountains. It overreacts to everything. And ...

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📌📈 Peter Lynch

Stomach Over Brain

The key organ in investing is the stomach, not the brain. Everyone has the brainpower to make money in stocks. Not every...

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📌📈 Peter Lynch

Corrections Are Normal

A decline of 10% is a correction, a decline of 25% is a bear market, and a decline of 50% happens roughly once every gen...

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📌📈 Peter Lynch

Ignore Macro Predictions

If you spend more than 13 minutes analyzing economic and market forecasts, you've wasted 10 minutes.

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💡📈 Peter Lynch

Know What You Own

Know what you own, and know why you own it. If you can't explain it to a ten-year-old in two minutes or less, you should...

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📌📈 Peter Lynch

The Tenbagger Framework

In this business, if you're good, you're right six times out of ten. You're never going to be right nine times out of te...

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📊📈 Peter Lynch

Six Categories of Stocks

I place stocks in six general categories: slow growers, stalwarts, fast growers, cyclicals, turnarounds, and asset plays...

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📌📈 Peter Lynch

Cocktail Party Theory

When the stock market is at its lowest, nobody talks about stocks at cocktail parties. When taxi drivers and dentists st...

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💼📈 Peter Lynch

Invest in What You Know

The amateur investor has advantages over the professional. You can find great investments right in your own backyard — t...

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📌📈 Peter Lynch

Do Your Homework First

Investing without research is like playing stud poker and never looking at the cards. You have to study the company befo...

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📌📈 Peter Lynch

Boring is Beautiful

The perfect stock is attached to a company doing something dull or ridiculous. A company that does boring things is almo...

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💰📈 Peter Lynch

Growth at Reasonable Price

The P/E ratio of any company that's fairly priced will equal its growth rate. If the P/E is lower than the growth rate, ...

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📈📈 Peter Lynch

Markets Always Recover

Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been ...

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💰📈 Peter Lynch

Prices Follow Earnings

People who succeed in the stock market also accept periodic losses and setbacks. Losses and setbacks are key to eventual...

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🏛️📈 Peter Lynch

Behind Every Stock is a Company

Behind every stock is a company. Find out what it's doing. If the company is doing well, the stock will eventually follo...

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📌📈 Peter Lynch

One Up on Wall Street

The individual investor should act consistently as an investor and not as a speculator. The amateur who devotes a small ...

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🧠📈 Peter Lynch

Long-Term Thinking System

If you can follow only one bit of data, follow the earnings — assuming the company in question has earnings. The directi...

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📌📚 Benjamin Graham

Financial Strength Matters

The investor should impose some limit on the price he will pay for an issue in relation to its earnings. A strong balanc...

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💵📚 Benjamin Graham

Earnings Stability Criterion

The company should have a long record of paying dividends and no earnings deficit in the last five years. Consistent ear...

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💸📚 Benjamin Graham

Dividend Record Check

An uninterrupted record of paying dividends for at least 20 years is a positive quality factor. Dividends signal managem...

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💡📚 Benjamin Graham

Individual Understanding Required

To achieve satisfactory investment results is easier than most people realize; to achieve superior results is harder tha...

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💼📚 Benjamin Graham

Know Thyself as Investor

The investor's chief problem — and even his worst enemy — is likely to be himself. Before deciding on an investment, you...

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📚 Benjamin Graham

Simple Portfolio Rules

The defensive investor should confine his holdings to the shares of important companies with long records of profitable ...

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💎📚 Benjamin Graham

Net Current Asset Value

Buy stocks of companies selling at less than their net current asset value — that is, below the value of current assets ...

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