Never buy a stock immediately after a substantial rise or sell one immediately after a substantial drop.

It should be remembered that a decline of 50% fully offsets a preceding advance of 100%.

Only in the exceptional case, where the integrity and competence of the advisers have been thoroughly demonstrated, should the investor act upon the advice of others without understanding and approving the decision made.

The beauty of periodic rebalancing is that it forces you to base your investing decisions on a simple, objective standard.

In the old legend the wise men finally boiled down the history of mortal affairs into a single phrase: 'This too will pass.'

Buy when most people, including experts, are pessimistic, and sell when they are actively optimistic.

Speculative stock movements are carried too far in both directions, frequently in the general market and at all times in at least some of the individual issues.