Thought

A public-opinion poll is no substitute for thought.

Understand

If you don't know jewelry, know the jeweller.

Diversification

Wide diversification is only required when investors do not understand what they are doing.

Fearful, Greedy

We simply attempt to be fearful when others are greedy, and to be greedy only when others are fearful.

Advice

Wall Street is the only place that people ride to in a Rolls Royce to get advice from those who take the subway.

I.Q.

Success in investing doesn't correlate with I.Q. once you're above the level of 25. Once you have ordinary intelligence, what you need is the temperament to control the urges that get other people into trouble in investing.

Shade

Someone's sitting in the shade today because someone planted a tree a long time ago.

Rule No.1

Rule No.1: Never lose money. Rule No.2: Never forget rule No.1.

Risk

Risk comes from not knowing what you're doing.

Holding Period

Our favourite holding period is forever.

Investing

Investing is simple, but not easy.

Rearview

In the business world, the rearview mirror is always clearer than the windshield.

History

If past history was all there was to the game, the richest people would be librarians.

Diversification

Diversification is a protection against ignorance. It makes little sense for those who know what they're doing.