CHOOSE SIMPLICITY: Invest in easy to understand, solid and enduring companies.
MAKE YOUR OWN INVESTMENT DECISIONS: Professional investors foster the belief that investing is too complicated for the average person, because their income is based on commission.
TEMPERAMENT: Don't own stocks that would cause you to panic when the market is shaky; do your homework and keep cool.
PATIENCE: It is the slow get-rich-scheme of buying for the long term after studying business earning capacity and future prospects that matter.
BUY BUSINESS NOT STOCK: Analyse a company, stocks are only a representation of the company.
DOMINANCE: Buy into companies that stand out from their peers
CONCENTRATE YOUR STOCKS: Experts will tell you to diversify, i.e. buy only in a few companies and invest a lot in them.
IGNORE THE PRICES: Checking stock prices daily can raise your blood sugar thus prompting you to buy or sell. Only check business performance i.e. management, earnings, cash flow and future prospects.
BUY LOW: When the shares of a good company fall. don't hit the panic button, but buy big time.
MANAGEMENT: Ask yourself "who is in-charge here?". "Is the management and board working to enrich themselves or shareholders?", "Is it frugal or spendthrift?".
FEAR AND GREED: When most investors are greedy be cautious. When they are fearful be greedy - but only if the investment meets your criteria.
READ AND THINK: Read a company's annual report for facts that will fuel your independent thinking and reasoning.