Each year we buy stocks and they go up, we sell them and then we try to buy something cheaper.

Look for companies that do not have a lot of debt.

I'm a passive investor. There are people who are very aggressive; they try to buy companies.

Try to establish the value of a company.

A lot of companies have lots of assets tied up in plant and equipment. Well, is it old plant, or is it new plant?

Be sure that debt does not exceed 100% of the equity.

Before selling, try to re-evaluate the company again and see where the stock sells in realtion to its book value.