The near absence of bargains works as a reverse indicator for us. When we find there is little worth buying, there is probably much worth selling.

Like to have a catalyst - reduces dependence on the market: Distressed debt inherently has a catalyst - maturity.

When all feels calm and prices surge, the markets may feel safe; but, in fact, they are dangerous because few investors are focusing on risk.

It turns out that value investing is something that is in your blood. There are people who just don't have the patience and discipline to do it, and there are people who do. So it leads me to think it's genetic.

We buy expecting to hold a bond to maturity and a stock forever.

Over the long run, the crowd is always wrong.

Investors should pay attention not only to whether but also to why current holdings are undervalued. It is critical to know why you have made an investment and to sell when the reason for owning it no longer applies. Look for investments with catalysts that may assist directly in the realization of underlying value. Give reference to companies having good managements with a personal financial stake in the business. Finally, diversify your holdings and hedge when it is financially attractive to do so.