Value investors should completely exit a security by the time it reaches full value; owning overvalued securities is the realm of speculators.

Warren Buffett likes to say that the first rule of investing is "Don't lose money," and the second rule is, "Never forget the first rule." I too believe that avoiding loss should be the primary goal of every investor. This does not mean that investors should never incur the risk of any loss at all. Rather "don't lose money" means that over several years an investment portfolio should not be exposed to appreciable loss of principal.

When a government official says a problem has been "contained," pay no attention.

Always remembering that we might be wrong, we must contemplate alternatives, concoct hedges, and search vigilantly for validation of our assessments. We always sell when a security's price begins to reflect full value, because we are never sure that our thesis will be precisely correct.

The trick of successful investors is to sell when they want to, not when they have to.

Be indifferent if you lose your short term clients, remember they are your own worst enemy

Excess capacity in people, machines, or property will be quickly absorbed.