In the great majority of cases we simply do not know enough about the industry or company to come to sensible judgments-in that situation we pass.

The best thing that happens to us is when a great company gets into temporary trouble...We want to buy them when they're on the operating table.

Nothing sedates rationality like large doses of effortless money.

The commission of the investment sins listed above is not limited to 'the little guy.' Huge institutional investors, viewed as a group, have long underperformed the unsophisticated index-fund investor who simply sits tight for decades. A major reason has been fees: Many institutions pay substantial sums to consultants who, in turn, recommend high-fee managers. And that is a fool's game.

Why not invest your assets in the companies you really like? As Mae West said, 'Too much of a good thing can be wonderful'.

The future is never clear; you pay a very high price in the stock market for a cheery consensus. Uncertainty actually is the friend of the buyer of long-term values.

In the insurance business, there is no statute of limitation on stupidity.