Category: Money tips Release Date: 2006-03-09
As a generation of famous investors, Warren Buffett seems to Wurenbuxiao daimyo in the market, of course, Buffett also there have been many followers. As the market in a veteran, I am 10 years of investment in this life is continually changing the investment style, recently, some friends have already identified known for years I was a faithful believer Buffett, over the last few years, I time has held the stock longer, especially in the outstanding shares of stock in a continuous list.
After ten years of tempering, the Chi Chou of my time is really increasing, but it is still not a complete copy of Buffett's approach. Of course, Buffett also use the main method of long-term holding, but the point does not cut into the same method that is not the same as select stocks. If only the time from the chip to hold up be judged, then a few years ago forced a large number of trapped in the high long-held passive form of investment has become a Buffett disciple. Therefore, the key was held by the reason and purpose of chips.
Warren Buffett is mainly due to long-term holders of the company's growth prospects and ability to return. If we want to copy Buffett's approach, then it means that China's future must be found Coca-Cola Company, I believe the vast majority of us who do not have the ability. That is, from this point we can see that I held the stock despite the relatively long time to some, but they still differed greatly with Buffett.
First, although the current continues to hold to hold but in the end how much time can not be determined, but did persist in several decades, as Mr. Buffett is probably impossible. Followed by the end, I hold the so-called long-term objective is often not optimistic about the company's own development, but the company's transformation. Because different industries have different profitability, many listed companies are seeking to transition, with a view from the original to escape out of the depressed industry into promising sectors. During this period, there will be a price repositioning process, especially for the poor performance of some of the original or even wearing a hat shaped the success of company stock once the switch there will be a big leap. I am now operating strategy is to find such companies, the current long-term holdings of a company would fall into this category. Since the aim is to reposition a transition, while the process of transformation may be quite complex, and therefore hold more than lengthen the time it has been possible, but not endlessly continue to hold. Once the company's transformation and to enter the stable period, it should be considered to quit.
