5 Investing Quotes To Remember While Buying Stocks
Investopaper
As a stock investor, it is extremely necessary to abide with a certain principle and ethics and maintain your discipline to make wise investment decisions. In doing so, you can take motivation out of intelligent quotes that have been expressed by investing greats. They can become a success mantra for a stock investor. You can remain motivated and optimistic during the dull period by keeping these quotes on your mind. Staying calm and cool is one of the greatest attributes of a successful investor.
So, below we bring you the five investing quotes asserted by the investing greats like Benjamin Graham, Peter Lynch, Warren Buffet and Daniel Kahneman.
Quote 1: “But investing isn’t about beating others at their game. It’s about controlling yourself at your own game.“- Benjamin Graham
This is one of my favorite quotes on investing. Benjamin Graham, who is known as the father of value investing, has provided very useful insights through his writings. His book, The Intelligent Investor is considered as one the greatest book on investing.
Basically, what this quote asserts is that as an investor, you need to know yourself. In order to excel through your investment, you have to gain control over your investment decisions. You should not be enticed by market movements and other investors’ activities. Make your decisions based on your knowledge and research focusing on the value that your investment will generate you.
Quote 2: ” Behind every stock is a company. Find out what it’s doing.“- Peter Lynch
Peter Lynch is one of the successful investors of all time who averaged a 29.2 percent annual return when he was managing Magellan Fund between 1977-1990. This quote is from his famous book One Up on Wall Street. It is extremely necessary to keep your sight on a company rather than focusing on a stock of the company and its price. Most of us are tempted by the price growth of a company. What is necessary is to find out what the company is doing in order to maximize its shareholder’s value. Some of the questions you can ask yourself before deciding to invest in stock are:
How is the performance of the company at present? What dividends can you expect from the company? and What is the future growth potential of the company?
Quote 3: “I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.“- Warren Buffet
Warren Buffet is renowned as the world’s successful investor of this century who has mastered value investing. He is currently the world’s third-richest person and the CEO of Berkshire Hathaway, an American multinational company. He has given many valuable insights to the investors through his writings. His quotes are also popular among stock investors. This particular quote advises an investor to cope with the different market situation wisely and with patience.
Quote 4: “Intelligence is not only the ability to reason; it is also the ability to find relevant material in memory and to deploy attention when needed.” – Daniel Kahneman
This quote is from one of the famous book Thinking Fast and Slow, written by Daniel Kahneman. He is an American economist and psychologist. This particular quote is very relevant to the stock market. Although you may have enough knowledge and intelligence to excel in the stock market, what is also necessary is to retrieve that information from your memory and deploy them whenever needed. You need to hit the right chord at the right time to grab opportunities that the market provides.
Quote 5: “The whole secret to winning big in the stock market is not to be right all the time, but to lose the least amount possible when you’re wrong.” – William J. O’Neil
William J. O’Neil is one of the first investors to incorporate computers into his research and investment decision-making process. This quote is from his highly praised book How to Make Money in Stocks. You need to accept the fact that wrong decisions will be made while picking stocks. What you must assure is that you do not lose hard from your wrong investment so that other good investments can cover your wrong decisions. Do not expect to be right all the time and make sure to take a calculated risk.
We hope these quotes will motivate you to invest sensibly and think differently while making an investment decision.