First, maintain fluidity enough.He wrote, “we never to strangers, we produce the kindness of his affairs, will let us is likely to face any cash liquidity requirements in our front appear insignificant; in addition, the liquidity is our home, the more diversified company produces profit stream.”
Second, when I threw all buy.Buffett wrote, “in the past two years, we have lots of chaos; money this time period for investors is excellent, because they are the best atmosphere panic friends… great opportunities, on the day off, hold a golden thimble drum not pick.”
Third, everyone bought me not to buy.Buffett wrote, “those who are very optimistic in critics only when the man finally, investment in high price is to buy a meaningless comfort. He is from this sentence, apparently have patience. If everyone in the office when you buy it at all, then only when you can buy sell-off.”
Fourth, value, the value, the value.Buffett’s investment wrote, “is the most important thing in your company to what to vote money in the stock market – through a small buy it — and the company in the future.” annual dews earn.
Fifth, don’t be fooled growth story.Buffett reminding investors said he and Berkshire’s vice President for those “glen miscanthus we can evaluate the future of the company, regardless of their products may be how exciting.Most in 1910 and automobile, 1930 betting betting plane or in 1950 betting on TV producers, the investors lost nothing at all, although these products are really change the world.”Sharp growth” does not necessarily bring high profit margins and high returns on capital.
Sixth, understand you hold.Buffett wrote, “according to the media or analysts and investors of comment is not suitable for us.”
Seventh, defend well in attack.Buffett wrote, “though we rise in some markets in the years behind the s&p index, but the s&p index fell in 11 years, we’ve been doing better than this one index; in other words, we have been good to attack, this kind of circumstance may continue.”