Quotes About Investment

implied that "at normal levels of the market" the investor should be able to obtain an  initial  dividend  return  of  between  31?2%  and  41?2%  on  his  stock purchases, to which should be added a steady increase in underly- ing value (and in the "normal market price") of a representative

A company can be a giant, or it can deserve a giant P/E ratio, but both together are incompossible.

1970 1969 Share earningsa $5.20 $5.58

If your investment horizon is long—at least 25 or 30 years—there is only one sensible approach: Buy every month, automatically, and whenever else you can spare some money. The single best choice for this lifelong holding is a total stock-market index fund. Sell only when you need the cash

exclusive private club—the big investment banks and fund houses that get shares at the initial (or "underwriting") price, before the stock begins public trading. The biggest "run-ups" often occur in stocks so small that even many big investors can't get any shares; there just aren't enough to go around.

guiding rule that the investor should never have less than 25% or more than 75% of his funds in common stocks, with a consequent inverse range of between 75% and 25% in bonds.

Once you lose 95% of your money, you have to gain 1,900% just to get back to where you started. 1

In June 1970 the question "How much?" could be answered by the magic figure 9.40%—the yield obtainable on new offerings of high-grade public-utility bonds. This has now dropped to about 7.3%, but even that return tempts us to ask, "Why give any other answer?

Todo el mundo debe conservar parte de su patrimonio en el seguro refugio del dinero en metálico.

The new-era doctrine - that good stocks (or blue chips) were sound investments regardless of how high the price paid for them - was at the bottom only a means of rationalizing under the title of investment the well-nigh universal capitulation to the gambling fever/

we draw two morals for our readers: Obvious prospects for physical growth in a business do not translate into obvious profits for investors. The experts do not have dependable ways of selecting and concentrating on the most promising companies in the most promising industries.

In our view there is no superior advantage in any fixed pattern of diversification. It is not essential to spread the risk around, in pre-established proportions, so that each of the major categories of American enterprise is included. What is essential is that a reasonable diversity of industries be achieved, so that the investor can feel he has his stake in a fairly good cross section of the economy. p143

The speculative public is incorrigible. In financial terms it cannot count beyond 3.

Texaco's unusual situation can be summarized in one sentence, often repeated by Graham and Dodd disciple Warren Buffett: A great investment opportunity occurs when a marvelous business encounters a onetime huge, but solvable, problem.

Today's investor is so concerned with anticipating the future that he is already paying handsomely for it in advance. Thus what he has projected with so much study and care may actually happen and still not bring him any profit. If it should fail to materialize to the degree expected he may in fact be faced with serious temporary and perhaps even permanent loss." P 345

Without a saving faith in the future, no one would ever invest at all." P 535

Without banks, you would be burying your money in coffee cans in the back yard

makes money, for we shall need money

The extent to which beliefs are based upon evidence is very much less than believers suppose. Take the kind of action which is most nearly rational: the investment of money by a rich City man. You will often find that his view (say) on the question whether the French franc will go up or down depends upon his political sympathies, and yet is so strongly held that he is prepared to risk money on it.

If he spent his money, say, in giving parties for his friends, they (we may hope) would get pleasure, and so would all those upon whom he spent money, such as the butcher, the baker, and the bootlegger. But if he spends it (let us say) upon laying down rails for surface cars in some place where surface cars turn out to be not wanted, he has diverted a mass of labor into channels where it gives pleasure to no one.

Back in those less complicated times, there were lots of industries that operated more or less by rote: the old banker's motto, for instance, was "3-6-3": take money in at 3 percent, lend it out at 6 percent, and be on the golf course by 3 P.M.

I think there are a lot of Republicans who recognize that investment in adolescent girls and empowering them is good for our foreign policy. When they're educated, they tend to give back more to their communities, to rise out of poverty in a way that is good for their families and their communities and, ultimately, their countries.

The attitude of the business community towards investment in Austria and Germany has always been positive, as both the countries have earned their reputation as countries with a consistent economic environment.

In my experience, fledgling entrepreneurs focus way too much on the money - you can get most things done and figure out a lot without spending much. That said, most businesses require money to launch and get off the ground.