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Buffett never out of date eight investment forecast

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Towards the end of the year in 2007, Buffett replied BeckyQuick said if the unemployment rate increased to a great extent, domino will subsequently drained, American economy in 2008 will be into recession. His prediction was right, but he did not sound the alarm.
A recession is not always avoid. Towards the end of the year in 2007, Buffett replied BeckyQuick said if the unemployment rate increased to a great extent, domino will subsequently drained, American economy in 2008 will be into recession. His prediction was right, but he did not sound the alarm. "It is the nature of capitalism over the same period of recession. People often overreact." (Buffett told Becky, at the age of 37, she was still young, may have 6 to 7 times of recession.)
The two is that we will survive current and future recession, as we've survived past many recessions.
Three recessions will create opportunities. "My life so far the best stock buying opportunities in 1974. It is an extremely pessimistic period, the oil embargo, a stagnant economy, there are many similar adverse events. But this only makes the stock become very cheap."
Four is not all of the stock is cheap. Successful investors should wait for a good shot like a baseball star, TedWilliams, to wait for the right price to fall to the right price, but this is not a daily opportunity. "The best investment is that you don't have to play the ball in a forced situation. You can watch the ball one inch above or below the navel, but you don't have to swing. No judge will judge you out." You should decide whether to buy based on your own judgment, do not want to buy you can always do not sell. But if you listen to the crowd! Hit the ball! Swing stick!" Just get out of the shot, you're in big trouble.
Five is that most people will be wrong. Buffett often quotes his mentor Graham as saying: "you are right, because your facts are correct, and your reasoning is right. This is the only reason that you are right.". If your facts and reasoning are correct, you don't have to think about what other people think."
Six investors will mistakenly think price decline is bad. "If the hamburgers at McDonald's today, the price dropped to surprise me. I don't want to anger, yesterday I eat McDonald's hamburger and more money. I will definitely go to Hamburg cheaper to buy after the price immediately. What do you want to buy any future, you hope will become cheaper."
The seven is the more the bull market may lead to significant errors in buying decision. Buffett 2000 shareholder letter, to the investors in the stock market is very high, a lot of crazy to buy compared to the ball Cinderella: "they know, some companies to generate in the future cash flow compared to the valuation has been overestimated to alarming proportions, but continued speculation to buy these stocks, like Cinderella know stay too long in celebration, the carriage will turn into pumpkins, horse will be turned back into a mouse like. But they don't want to miss this from the heart of the carnival even one minute. Therefore, the giddy participants just before the last moment before leaving. But the problem is that they are in a no room to dance the clock pointer."
Finally, a prediction is, after a painful period of completely drunken people will in another, a crazy dance carnival. "The whole world is crazy. We learn from history lesson is that people don't learn from history."
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