In any business opportunity, you'd be looking, probably, primarily at the risk and return. Some business can be very risky with a low return; what you want is the lowest risk with the biggest return.
When investing, I'm not against risk. If you take no risk you must expect a low return. Just don't let anyone fool you into thinking you can get a high return with low risk.
The music business is suffering because fewer artists are being invested in. Labels are putting in less money, taking fewer risks and signing half as many artists as they did 10 years ago. Everything is risk averse right now and there are two ways to deal with a business situation like this: either reduce your risk or increase your return. They're reducing their risk to the bone and looking for ways with their 360 deals to increase their return. They're still not making money. Artists are suffering. Labels, or music investors, are suffering.
to love is to risk, not being loved in return. to hope is to risk pain. to try is to risk failure. but risk must be taken because the greatest hazard in my life is to risk nothing.
Buying a share of a good business is better than buying a share of a bad business. One way to do this is to purchase a business that can invest its own money at high rates of return rather than purchasing a business that can only invest at lower ones. In other words, businesses that earn a high return on capital are better than businesses that earn a low return on capital.
Using volatility as a measure of risk is nuts. Risk to us is 1) the risk of permanent loss of capital, or 2) the risk of inadequate return.
We regard using [a stock's] volatility as a measure of risk is nuts. Risk to us is 1) the risk of permanent loss of capital, or 2) the risk of inadequate return. Some great businesses have very volatile returns - for example, See's [a candy company owned by Berkshire] usually loses money in two quarters of each year - and some terrible businesses can have steady results.
I don't have any intentions to return to England. I would go back if I could return as a free person. I don't want to return to prison.
To laugh is to risk appearing a fool. To weep is to risk appearing sentimental. To reach out to another is to risk involvement. To expose feelings is to risk exposing your true self. To place your ideas and dreams before a crowd is to risk their loss. To love is to risk not being loved in return. To hope is to risk pain. To try is to risk failure. But risks must be taken, because the greatest hazard in life is to risk nothing.
Unlike return, however, risk is no more quantifiable at the end of an investment that it was at its beginning. Risk simply cannot be described by a single number. Intuitively we understand that risk varies from investment to investment: a government bond is not as risky as the stock of a high-technology company. But investments do not provide information about their risks the way food packages provide nutritional data.
For a long time, the film business was a single-digit business on investment return. Now, because of home video, it's a low double-digit business, and the studios want to make sure it doesn't go back into the single-digit business.
Returning to WWE before retiring is not a question of whether they want to or I want to return. Neither I hope nor want to return, nor do they expect me to return or want me to return.
If you invest and don't diversify, you're literally throwing out money. People don't realize that diversification is beneficial even if it reduces your return. Why? Because it reduces your risk even more. Therefore, if you diversify and then use margin to increase your leverage to a risk level equivalent to that of a nondiversified position, your return will probably be greater.
We understand that you have to create an environment where that those men and women who are entrepreneurs can risk their capital and have an opportunity to get a return on their investment. That's how jobs are created. And that's what Americans are looking for, is that type of vision.
Some of the most vulnerable people to getting the SARS virus are health care providers. The general public, walking in the street, there is really not that much risk at all. It's a very, very low risk - a very, very low risk.
The only people who steal are thieves, and that’s a very small percentage of civilization. Most people want to have some way to make the economic transaction valid. They want to return the favor, if you will… return the benefit and reciprocate...
The only people who steal are thieves, and that's a very small percentage of civilization. Most people want to have some way to make the economic transaction valid. They want to return the favor, if you will... return the benefit and reciprocate.