Diversify. But carve out 10 to 20 percent for the most unloved part of the market: emerging markets value.

The best investment opportunities are often scary.

The most treasured asset in investment management is a steady hand at the tiller.

Whatever is cheap became cheap by treating us badly in the past, but is priced to deliver superior returns.

History teaches that when valuations are extreme, "mean reversion," a move towards historical norms, is likely. Once value stocks turn, the recovery can be fast and intense.

Diversify. But carve out 10 to 20 percent for the most unloved part of the market: emerging markets value.

Successful contrarian investing requires us to live with discomfort, for being "wrong" and alone. But bargains do not exist in the absence of fear.