Rule1:Never Lose Money; Rule2: Never Forget Rule 1
As you read the title I am sure you know whom I am talking about. A guy who revolutionized my thoughts of Wealth. Who made me understand Wealth is about the mindset. If you are Wealth Abundance Graduate I am sure you should heard a lot about me how my total thought process is shifted because of Warren Buffet’s thoughts.
Some of the thoughts which run in my mind very fast whenever I log to my on line Share Trading Accounts are these: (Also see my comments next to it!)
#1. You can never predict the market - Every magazine, TV and stock broker failed predicting what will happen in the market
#2. Risk comes from not knowing what you are doing! - Stock market is risky if you are not aware how to play the game. For Schumacher Car Racing is not a risk but life! #3. Only when the tide goes out you discover who is been swimming naked - Whenever I read this I cant stop laughing. How many are right now swimming naked! When the tide is going to die. WOW, Warren is always mindblowing.
#4. Wide diversification is only required when investors do not understand what they are doing - Amazing truth. Unfortunately every management school teaches to reduce risk diversity your stocks:Crap!
#5. It is far better to buy a wonderful company at a fair price than a fair company at a wonderful price - I have always seen magazines recommending wonderful companies but rarely people buy for a fair price
#6. I always knew I was going to be rich. I don’t think I ever doubted it for a minute - Such a wonderful thought. I adopted this thinking pattern from Warren!
