warren buffet-Golden Rules

CONITNUED FROM YESTARDAY......

BASIC IDEAS
The basic ideas of investing are to look at stocks as businesses,
use market f luctuations to your advantage, and seek a margin
of safety. That’s what Ben Graham taught us. A hundred years
from now they will still be the cornerstones of investing.4
WARREN BUFFETT, 1994

GRAHAM’S APPROACHES
Graham’s approaches—buying a stock for less than twothirds
of net asset value and buying stocks with low P/E multiples—had
a common characteristic. The stocks that Graham selected based on
The basic ideas of investing are to look at stocks as businesses,
use market f luctuations to your advantage, and seek a margin
of safety. That’s what Ben Graham taught us. A hundred years
from now they will still be the cornerstones of investing.4
WARREN BUFFETT, 1994

PEOPLE COULD MAKE SUPERIOR PROFITS
Fisher came to believe that people could make superior profits by
(1) investing in companies with above-average potential and
(2) aligning themselves with the most capable management. these methods were deeply out of favor with the market.

GROWTH
companies with above-average potential have ability to grow
sales over the years at rates greater than the industry average. That
growth, in turn, usually was a combination of two factors: a significant
commitment to research and development, and an effective sales organization.

CONSISTENT PROFITS

“All the sales growth in the world won’t produce the right type of investment vehicle if, over the years, profits do not grow correspondingly,” .Accordingly,
Fisher examined a company’s profit margins, its dedication to maintaining
and improving those margins and, finally, its cost analysis and
accounting controls.”

TO BE CONTINUED TOMORROW.......

“ENJOY TODAY ,WAIT FOR BEAUTIFUL TOMORROW ”
what are weakness and strength you find while reading this article/section ?
please give your comment below (in comment label) as how can this article/section be improved further ? it will GIVE THE OPPORTUNITY TO MEMBERS OF “ jab we met CA “ BLOG TO IMPROVE THEMSELVES. WAITING FOR YOUR REPLY....

SATBIR SINGH
PRESIDENT
JAB WE MET CA
REDEFINING PROFESSIONALISM......
“LEADERS ARE READERS, READERS ARE THE LEADERS”