Category: Money Tips Date: 2007-06-15
Buffett is increasingly being sacrosanct market value investing seems to be the only golden rule, which interests aside aside, I want to say is more than one way to success.
And investment corresponds to the speculation. Speculation, saying that it will not be like a good word. Earlier, speculation is always and "Dao Ba" Even together, called "speculation" is the farmers to have enough to eat eggs to get home a little secret in town for food or food stamps, so city people can eat a little bit of the quota outside the non-staple food, country folk can also eat a little grain, can eat is difficult to say. In this, if let "Hoop child wear a" catch, but also as a "tail of capitalism" confiscated. At that time, "Dai Hoop children" may formidable, in addition to wearing a black collar of whether children who wear what the hoops were of children with managing people. The so-called "speculation", not so much a "tail of capitalism", might as well be said that Chinese farmers, "Humanism's belly."
Speculation has never recruit people to be see. Investment is the human right way, speculation is heresy. Made money is because the investment philosophy, costing him money due to speculation. Institutions to guide the idea is to invest, and the remaining are all speculative.
Worldly things, but not an idea to cover the three graves 5 Code, is by no means 8 mound cable 9 is a saying can be unified, and there is everything there is yin yang, there are those against. To the success of Buffett's investment philosophy is of course Gaoshanyangzhi, but speculation is not also the remarkable success of master George Soros? Investment philosophy originated, Graham, Buffett's investment career teachers are not failed?
Here, I would like to say that the famous master of speculative story of Jesse Livermore, which is an industry are familiar with, but no one has ever mentioned figure:
Jesse Livermore was born in 1877 in the United States a "poor peasant" family, he was 14 years of age to the "Securities chant" (business department) declarations made a member of three U.S. dollars a week salary. Since then, speculation Livermore began his career in just a few years and accumulated enormous wealth, then many of bankruptcy, but also rely on many occasions that the small amount of money a comeback, after several ups and downs, culminating in 1929 that most people original capital market so that no owned by a big crash, Jesse Livermore homeopathic short, earned 30 million U.S. dollars (equivalent to today's 3 billion U.S. dollars), thoroughly transform.
Livermore's success tells us that such a reason, the same speculation is successful, more than one path to success. Needless to say, speculation is human nature, if you have against their nature can make money, then how could that be? But also how much it costs?
See description of Buffett's books, feeling a master of "God", had almost no failures, and his methods, models is difficult for us to emulate, such as participation in the operation as a company director to gain first-hand information. The Livermore do?
He failed many times, costing him too broke, debt-ridden, so that too much psychological pressure which led to bigger and lose, finally had to remove the four begged his creditors debt, That lay down the burden of traveling light, of course, he eventually repaid all of the debt;
After his defeat many times, realized an important stop-loss, but even so, or stop making mistakes over and over again;
He has four to listen to the message Zuogu Piao, leading to a disastrous defeat on many occasions;
Many times he is only one step away from the success of the time, but fall short because of greed;
He has all the assets are used for speculation, so that when the bankrupt, his wife and children life is not guaranteed until the third stage a comeback after the bankruptcy before the family purchased a life insurance, trust and investment and real estate;
With the halo of God enveloped Buffett shares compared Livermore is one of the mortals without aura, his body all of the weaknesses we have; he committed all the mistakes we have committed or is being committed; but many of his bankruptcy we have not encountered; him several ups and downs we have not experienced, of course, we have not experienced before and his final brilliant ... ...
Legalist ideas have been able to become the mainstream in the Spring and Autumn Period, it is because it gives people joined the rank left out of the road, as Xunzi said, "Everybody can be saints." The Livermore's success tells us that speculation can be successful, an ordinary person can be brilliant, Livermore to the people's psychological comfort and encouragement. From Livermore's shoulders, people know, they can have their own ambitions, you can confidently pursue their own glory and the dream. This is the industry's a lot of people like Livermore reasons, may also be a lot of people never talk about the reasons for Livermore ------ After all, ambition, or ambition, bad lip, inconvenience anybody to know.
