# Do you have an investment mantra?



## themeinvestor (5 February 2015)

Hi All, 

I am looking to collect some favourite investment mantras / quotes.

Is there one in particular you lean one / like?

Let me start with:

Nobody ever lost money taking a profit. - Bernard Baruch

I look forward to having your wisdom heaped upon me!!


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## Wysiwyg (5 February 2015)

He who hesitates is lost!
&
All good things come to those who wait!


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## craft (5 February 2015)

BEST LOSER WINS


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## burglar (5 February 2015)

"A feint heart never won a fat turkey!"


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## jbocker (6 February 2015)

Someone in the forum has this in their sign off and I love it...

_"I started with Nothing and I still have most of it."_


The most cruel expression ( I think our US pals  say this) ...

_"When you come second you are the first loser"_

..and for good 'ole advice..

_"Never look a gift horse in the mouth, same goes, an Ass."_


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## Triathlete (6 February 2015)

Knowledge + Experience+ Hard Work = SUCCESS.


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## darkhorse70 (6 February 2015)

Greed is Good - Gordon Gheko (lol)


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## tech/a (6 February 2015)

I specialize in Small business.

I generally start with a large one.


Nobody ever lost money taking a profit. - Bernard Baruch
*Actually you can go broke!*


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## Value Collector (6 February 2015)

"Have the courage of your knowledge and experience. If you have formed a conclusion from the facts and if you know your judgment is sound, act on it - even though others may hesitate or differ. You are neither right nor wrong because the crowd disagrees with you. You are right because your data and reasoning are right"

Ben Graham. 

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Individuals who cannot master their emotions are ill-suited to profit from the investment process. The investor's chief problem - and even his worst enemy - is likely to be himself.

Ben Graham.


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## sydboy007 (6 February 2015)

Focus on capital preservation over potential returns.

A 20% loss requires a 25% gain to get back to square one.


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## systematic (6 February 2015)

Some are:

- I'm just not that good.

- Great investment results require humility.  And patience.  Be the humble, patient investor.

- Follow the model.

- Following the model is the hardest thing.  Be the best at following the model.


I could probably go on.  Some of the above I haven't articulated with those exact words before, but they're the ideas I carry in my head.

Upon reflection...probably my most important two, are:


- History repeats. (or; there's nothing new under the sun / what has been before will be again / it's not _really_ different this time; and...

- Human behaviour is predictable.  Expanding this thought further:  it is the human behaviour of investors that creates the possibility to out perform the average, and it is human behaviour that is the primary driver of the profitability of certain market factors.  The tendencies, biases and behaviour of humans will continue; that's why the same market factors that have worked will continue to do so.


My 2c.  _Please don't copy to another site without asking (I'm sure you wouldn't, but just requesting)._


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## burglar (6 February 2015)

sydboy007 said:


> Focus on capital preservation over potential returns.
> 
> A 20% loss requires a 25% gain to get back to square one.




Where does the 5% go??

And where is square one?


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## themeinvestor (6 February 2015)

systematic said:


> My 2c.  _Please don't copy to another site without asking (I'm sure you wouldn't, but just requesting)._




Thank you Systematic.  

And good point - I should say that I won't use any of the quotes / thoughts / mantras / touchstones etc here elsewhere without seeking permission first from the relevant person.


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## Bill M (7 February 2015)

Just some I have heard.

"Let the weeds wither and the growers grow."

An old favourite Rene use to say was :"buy in gloom, sell in boom."

And one from a financial adviser when I told him I didn't have much money to invest was:

"the only difference between a poor investor and a rich investor is the number of zeros behind the first number" 
I try to remember that one for small investments.

And the one I use and believe in the most is in my long standing signature below.


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## burglar (7 February 2015)

Sold in bloom, left with gloom!


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## luutzu (8 February 2015)

Ads through Google AdSense: $100s per thousand;
Ads on ASF: A couple bucks;
Posting a question, add a link in your signature to attract attention: Priceless. 


Don't think Confucius ought to be called a politician though. He was a magistrate for a very short time, but else were never hired or held any political office.


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## qldfrog (8 February 2015)

burglar said:


> Where does the 5% go??
> 
> And where is square one?




pure math
start 100c
loose 20%
you have 80c
if the share goes up by 20% you just get back to 96c you need the extra 5% to break even
I agree: a fundamental point to get when trading!


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## burglar (8 February 2015)

qldfrog said:


> ... I agree: a fundamental point to get when trading!




If I find the 5%, should I return it to you, so-as you break-even?

What if I am greedy?  :



PS I would have to send it electronically, 
because 4c cash is no longer legal tender!


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## Tyler Durden (8 February 2015)

I like this thread very much, actually had an idea to start something similar. The one I can think of right now, and which has been touched on already, is something like:

_Be greedy when others are fearful. Be fearful when others are greedy._


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## Triathlete (8 February 2015)

Here are a few more I use:

Success does not come by accident , it is created.

You are today where you planned to be! No more ,  no less.


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## themeinvestor (26 February 2015)

Thanks everyone for your comments.  

Some great nuggets of wisdom there.



I just finished reading The Big Short by Michael Lewis.  It was really interesting how the people betting against the sub-prime market felt like they might be the ones who were insane.  They each had their own ways of sticking to their convictions, or letting them go.


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## burglar (26 February 2015)

From The Wedding Singer:

Gee, you know that information... really would've been more useful to me "*yesterday*."


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## Triathlete (26 February 2015)

" Diversification is a protection against ignorance.
  It makes very little sense to those that know what they are doing" - Warren Buffett

" A winning strategy must include losing."- Rich Dad.


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## notting (26 February 2015)

In a Bull market, never sell a dull market, in Bear market, never buy a dull market
There are old traders and bold traders but no old bold traders ~ not sure.

An error does not become a mistake,
Unless you refuse to correct it.
~Clive Palmer (quoting someone else)

In a Bull market, never sell a dull market, in Bear market, never buy a dull market

Buy the rumor, sell the news/announcement (especially if it reacts strongly)

Don't fret a missed opportunity. There is another one just around the corner.

The market tends to remain irrational longer than you can remain solvent!

Most traders consider themselves better than the herd. They are the herd ~ Notting


If you want to make money from losers, write a book with Secrets in the title. ~ Notting

If a taxi driver gives you a tip, short it! ~ Notting

When they reverse hard against a trend on an announcement be a short term maverick ~ Notting
(AWC classic example today!)

Play the trueisms in reverse. ~ Notting

Rejoice when you follow your rules, even if it's a losing trade. ~ Notting


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## Julia (26 February 2015)

Triathlete said:


> " A winning strategy must include losing."- Rich Dad.



Disagree entirely with this.
Chop your losses out quickly.
Let only the winners run.


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## Triathlete (27 February 2015)

Julia said:


> Disagree entirely with this.
> Chop your losses out quickly.
> Let only the winners run.




I agree with your comment Julia as  that is what I do as well....but it is still a loss is it not!!

You are not going to be 100% correct with all your trades  but you are still going to be profitable in your strategy...That is how I read it anyway.


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## Julia (27 February 2015)

Triathlete said:


> I agree with your comment Julia as  that is what I do as well....but it is still a loss is it not!!



Why don't I learn not to comment on this sort of stuff?

I object to the original 'mantra' because it will be used by people who keep hoping that those dogs they're holding onto will one day turn around.


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## Ves (27 February 2015)

Triathlete said:


> You are not going to be 100% correct with all your trades  but you are still going to be profitable in your strategy...That is how I read it anyway.



Would have to look it up,  but from memory the quote from the Rich Dad, Poor Dad book was said in the context of the inertia that may arise from the expectation of perfectionism:   ie.   if you expect to win 100% of the time,   then you will often be scared to do anything due to the fear of being wrong (even if it isn't as often as being right).


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