The purpose of this book is to supply, in the form suitable for laymen, guidance in the adoption and execution of an investment policy.

Speculators often prosper through ignorance; it is a cliché that in a roaring bull market knowledge is superfluous and experience is a handicap. But the typical experience of the speculator is one of temporary profit and ultimate loss

Mr. Market does not always price stocks the way an appraiser or a private buyer would value a business. Instead, when stocks are going up, he happily pays more than their objective value; and, when they are going down, he is desperate to dump them for less than their true worth.

To enjoy a reasonable chance for continued better than average results, the investor must follow policies which are (1) inherently sound and promising, and (2) not popular on Wall Street.

The market is always making mountains out of molehills and exaggerating ordinary vicissitudes into major setbacks.

In the short run, the market is a voting machine, but in the long run it is a weighing machine.

There is a close logical connection between the concept of a safety margin and the principle of diversification.