InvestIdeas

Sometimes, growing your wealth is as simple as owning great businesses over time.

You don’t need to buy at the bottom… and you don’t need to sell at the top.

All you need to do is invest in quality businesses… and have the discipline to let your investment grow.

He warned investors to be wary of greed and fear, to prioritize caution to avoid losses and accumulate gains slowly but surely.

People should not believe any investment is destined to be profitable, he warned.

The veteran said it is important to diversify one's risks, saying investors should allocate funds to various products and regions.

Whenever we “open the hood” to analyze a business, we look for key components, such as:
1. Consistent earnings and dividends
2. Overall strength of its balance sheet
3. Primary competitive advantages
4. Overall strength of its management team.

They’re all indicative of future earnings power. So a truly quality company will boast all four aspects, no matter the economic conditions around it.