🏰 Investing isn't gambling
#QualityTuesday
Quality Tuesday
In this series, we will teach you 5 things about the stock market in less than 5 minutes.
If you are reading this and like #QualityTuesday, feel free to share it with Family and Friends.
1️⃣ Be greedy when others are fearful
What if you invested in the S&P500 every time the US news channel CNBC reported that the stock market was in turmoil?
In that case... your average return after 1 year would be equal to 40% with a win rate of 100%.
It pays off to be greedy when others are fearful and fearful when others are greedy.
2️⃣ Investing isn’t gambling
Investing isn’t gambling.
Act like an owner and think on the long term.
3️⃣ One simple investment quote
Do you want to invest successfully? Read as much as you can.
“In my whole life, I have known no wise people (over a broad subject matter area) who didn't read all the time - none, zero. You'd be amazed at how much Warren reads--and at how much I read. My children laugh at me. They think I'm a book with a couple of legs sticking out.” - Charlie Munger
4️⃣ Statement of Cash Flows
Do you want to learn more about the Statement of Cash Flows?
Take a look here:
5️⃣ Example of a Quality Company
All companies within Morningstar’s wide moat index:
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About the author
Compounding Quality is a professional investor which manages a worldwide equity fund with more than $150 million in Assets Under Management. We have read over 500 investment books and spend more than 50 hours per week researching stocks.
That Munger quote never gets old. Thanks!
Be greedy when others are fearful is the alpha 💎