John Templeton
John Templeton🛡 Margin of Safety

John Templeton's Margin of Safety Rules

Sir John Marks Templeton (November 29, 1912 – July 8, 2008) was an American-born British investor, fund manager, and philanthropist. He founded the Templeton Growth Fund in 1954, which became one of the most successful international investment funds in history. Templeton pioneered global diversification, investing in international markets when most American investors focused solely on domestic stocks. He famously bought...

3 principles·Margin of Safety

3 Key Margin of Safety Principles

#1

Market Euphoria Danger

"The time of maximum optimism is the best time to sell, and the time of maximum pessimism is the best time to buy. This is the essence of understanding Mr. Market."

Maximum optimism is the best time to sell.

🌿 Intermediate★★★★★
Read Full Analysis →
#2

Market Cycles Wisdom

"Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. Know where you are in the cycle."

Understand which stage of the market cycle you're in.

🌿 Intermediate★★★★★
Read Full Analysis →
#3

Market Price vs Worth

"Stock prices fluctuate much more than values. Most people get confused between the price of a stock and its value. Price is what you pay; value is what you get."

Price fluctuates far more than underlying value.

🌱 Beginner★★★★★
Read Full Analysis →

Frequently Asked Questions

What are John Templeton's key margin of safety principles?

John Templeton has 3 key principles on margin of safety. The most important one is "Market Euphoria Danger" — The time of maximum optimism is the best time to sell, and the time of maximum pessimism is the best time to buy.

How does John Templeton apply margin of safety in practice?

John Templeton applies margin of safety through several key principles including "Market Euphoria Danger" and "Market Cycles Wisdom". These principles guide practical investment decisions and have been tested across decades of market cycles.

What makes John Templeton's approach to margin of safety unique?

John Templeton's approach to margin of safety is distinguished by a focus on long-term thinking and fundamental analysis. With 3 specific principles in this area, John Templeton provides a comprehensive framework that investors at any level can study and apply to improve their decision-making.

Explore More