Dear Friends,
According to Benjamin Graham, “An investment operation is one which, upon through ANALYSIS, promises safety of principal and a satisfactory return. Operations not meeting these requirements are speculative” (or gambling).
It is quite astonishing to see people work so hard to save money and end up gambling it away with one speculative investment after the other. Several people chase the dream of striking it big in the stock market or some form of other investment scheme. The fact is the majority of your wealth will be built from your income. Investments are designed to protect your savings and produce a satisfactory rate of return.
Here are some tips to successful investing
Do not invest in what you don’t understand. You should have personally studied or analyzed any investment you make thoroughly. Preferably, you should have experience in the industry you are investing or leverage the knowledge and expertise of a trustworthy entity to assist in making your investment.
Since we cannot predict the future, I recommend you focus on investing in income producing instruments such as a business, real estate, dividend paying stocks or interest bearing accounts. If you must invest for capital appreciation, ensure your analysis is spot on and buy at an incredible discount.
Always give yourself a margin of safety whenever you make an investment. Ask yourself, if my analysis was half wrong, would I still preserve my capital or make money? If the worst case scenario should occur, would I still preserve my capital or make money?
Sincerely,
Victor Lofinmakin
Top Producing Agent
Tarl Anderson Properties
832-788-1782