Quotes About Investment

The point on Figure 6-8 that is most interesting is a portfolio representing 70 percent in the broad market and 30 percent in the small value index. Over a 30-year period, a mix of 70 percent in the total market and 30 percent in the small-cap value index would have increased U.S. equity returns by 2.0 percent with very little increase in observed portfolio risk. Figure

Stock investors should expect periods of time when equities do not make money after inflation. It is the nature of investment risk. This is also why time in the market is critical to stock investors. In the long run, equities have outpaced inflation by a wide margin, and they are expected to remain one of the best real return investments in the future. You have to stay invested during all market conditions to benefit from the gains. U.S.

The lesson we learn from Tables 2-2 and 2-3 is that higher volatility of returns leads to lower compounded returns and vice versa. Accordingly, any strategy that lowers the return volatility of the portfolio without lowering the simple average return will increase the compounded return.

Investors who take no investment risk should expect no return after adjusting for inflation and taxes. Unfortunately, taking investment risk also means that you can and will lose money at times. There is simply no way around this. There is no free lunch.

To get rich never risk your health. For it is the truth that health is the wealth of wealth.

If they were honest, many parents would confess that their primary reasons for not allowing their child to quit something is because of financial reasons, or personal reluctance to get involved, or both.

If you don't recognize that God created you for eternity, you'll invest your life in the wrong things.

The term railway was to Victorian England what atomic or aerodynamic were to be after World War II, and network and virtual are today. When it came to investments, the romantic appeal of being a party to this technological revolution often dominated profit considerations.

Baron Rothschild quipped that there are "three principal ways to lose your money: wine, women, and engineers. While the first two are more pleasant, the third is by far more certain.

For a successful entrepreneur it can mean extreme wealth. But with extreme wealth comes extreme responsibility. And the responsibility for me is to invest in creating new businesses, create jobs, employ people, and to put money aside to tackle issues where we can make a difference.

Train people well enough so they can leave, treat them well enough so they don't want to.

es crucial que usted asuma semanalmente la responsabilidad, junto con los demás compromisos de su agenda, de pasar un tiempo de calidad con los activos más importantes de la compañía: su gente.

On 8 December 2003 we floated Virgin Blue on the stock market for A$2.3 billion. A$2.3 billion! This, the same airline we'd started with A$10 million only four years earlier, and had rejected a A$250 million offer for only two years previously.

We as economic society are going to have to pay our whole population to go to school and pay it to stay at school.

For the progress of scientific knowledge will lead to a constant increase of expenditure.

It's just a piece of land and a lot of lawyers. We have to create something of value on the land—design it and see it built. That's all that matters.

It is not the miser who gets rich; but he who lays out his money in fruitful investments.

It is from time to time the duty of a serious investor to accept the depreciation of his holdings with equanimity and without reproaching himself

People who buy equity ETF shares in taxable accounts, such as a joint account or trust account, will find their tax bill may be slightly lower at the end of the year than if they had purchased the same amount in a comparable open-end index fund.

Infrastructure is always hugely expensive, and there's no clear way to measure the overall future return on investment, whether it's in the form of innovation, development, or new communities or jobs. Infrastructure provides a skeleton on which to grow a new economic model. The infrastructure investments we make now will determine the kind of economy we have in the future.

PROBLEM 1. Assume yourself richer by $300 than you are today. You are offered a choice between A. A sure gain of $100, or [72%] B. A 50% chance to gain $200 and a 50% chance to lose $0. [28%] PROBLEM 2. Assume yourself richer by $500 than you are today. You are offered a choice between A. A sure loss of $100, or [36%] B. A 50% chance to lose $200 and a 50% chance to lose $0.

Loss aversion helps produce inertia, meaning a strong desire to stick with your current holdings.

Markowitz's strategy can be viewed as one example of what might be called the diversification heuristic. "When in doubt, diversify.

special case of this rule of thumb is what might be called the "1/n" heuristic: "When faced with 'n' options, divide assets evenly across the options."3 Put the same number of eggs in each basket.