Investment Philosophy To Learn
The philosophy which we put the base for our education follows "The Warren Buffet Way". His investment philosophy is very long lived and is still effective in these days. We don't feel shame and rather feel it logical to adopt similar philosophy as Mr. Buffet, because we cannot find any better one than it so far. In investment, you should follow the philosophy of the world great investor. A part of his great philosophy are as follows;
1. Invest in the company which has "durable competitiveness" against competitors and which has excellent and honest managements
2. Do not invest in the company which you cannot understand the business
3. Invest in such excellent company when its market value gets much lower than its intrinsicvalue for some temporary reasons.(scandal, accident etc.)
4. Keep such excellent company's stock as long as the excellent management keeps the good business and keeps the "durable competitiveness"
5. Invest in company like you buy it, do not just trade the stock of the company
6. Do not utilize leverage to invest
7. Do not diversify the portfoliotoo much
8. Get greedy when people have no interest in the stock market and get fearfulwhen others get too much excited with the market.
9. Remember endurance is the most important factor in stock investment
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