John Templeton
John Templeton🛡 Risk Management

John Templeton's Risk Management 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·Risk Management

3 Key Risk Management Principles

#1

Diversify Globally

"The only investors who shouldn't diversify are those who are right 100% of the time. Diversify across nations and across industries."

Diversify across nations and industries.

🌱 Beginner★★★★★
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#2

Protect Against Inflation

"For all long-term investors, there is only one objective: maximum real total return after taxes. Never forget the erosion of inflation."

Focus on real returns after inflation and taxes.

🌿 Intermediate★★★★☆
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#3

Global Diversification

"The best bargains are often in countries that other investors have abandoned. Think globally, not just domestically."

Abandoned markets offer the greatest value opportunities globally.

🌿 Intermediate★★★★☆
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Frequently Asked Questions

What are John Templeton's key risk management principles?

John Templeton has 3 key principles on risk management. The most important one is "Diversify Globally" — The only investors who shouldn't diversify are those who are right 100% of the time.

How does John Templeton apply risk management in practice?

John Templeton applies risk management through several key principles including "Diversify Globally" and "Protect Against Inflation". These principles guide practical investment decisions and have been tested across decades of market cycles.

What makes John Templeton's approach to risk management unique?

John Templeton's approach to risk management 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.

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