From the Blog

First Rule Don’t Lose Money – Repeated by SeekingAlpha

Professionals refuse to lose money. They pay attention to the downside far more than the upside. What they make in the markets – they usually keep. Professionals are always looking for extra leverage. Leverage is when you have the possibility of making a lot of money by investing very little. Professionals never stop learning and […]

Buffett Wisdom – Staying Out of Trouble

Its easier to seek forgiveness than ask permission (EAFP) doesn’t work with financial risks because essentially there is no forgiveness. In the case of financial risk Buffett summed it up this way.   Its easier to stay out of trouble than get out of trouble. Or its easier to not take risk and not lose money, […]

How Warren Buffett Invests – Not!

From USA Today Warren Buffet now 83 speaks about how to invest wisely “Doing reasonably well investing in stocks,” Buffett says, “is very, very easy.” “Buy an index fund, preferably over time, so you end up owing good businesses at a reasonable average price,” says Buffett. “And that is all you have to do.” Its […]

The Graham and Dodd PE Ratio

The Graham and Dodd price earnings ratio simply uses the average earnings over the last ten years as E in the P/E ratio.  Although the time cost of money over the ten years seems to be ignored, there is supposedly a correlation between companies with a Graham and Dodd PE of between 5 and 10 […]