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

Confronted with a challenge to distill the secret of sound investment into three words, we venture the motto, Margin of Safety.

The most realistic distinction between the investor and the speculator is found in their attitude toward stock-market movements. The speculator's primary interest lies in anticipating and profiting from market fluctuations. The investor's primary interest lies in acquiring and holding suitable securities at suitable prices. Market movements are important to him in a practical sense, because they alternately create low price levels at which he would be wise to buy and high price levels at which he certainly should refrain from buying and probably would be wise to sell.

Successful investing is about managing risk, not avoiding it.

The memory of the financial community is proverbially and distressingly short.

Obvious prospects for physical growth in a business do not translate into obvious profits for investors.

The correct attitude of the security analyst toward the stock market might well be that of a man toward his wife. He shouldn't pay too much attention to what the lady says, but he can't afford to ignore it entirely. That is pretty much the position that most of us find ourselves vis-à-vis the stock market.