A Quote by William Forsyth Sharpe
Some investments do have higher expected returns than others. Which ones? Well, by and large they're the ones that will do the worst in bad times.
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Large profits are even more insidious than large losses in terms of emotional destabilization. I think it's important not to be emotionally attached to large profits. I've certainly made some of my worst investments after long periods of winning.
Well, [bad] times like that bring out the best in some people and the worst in others.
Move your personal investments and retirement funds to socially responsible investment (SRI) funds that support only those corporations that uphold higher standards of behavior. Returns on SRI funds are usually equal to, if not better than, many of the well-known traditional mutual funds.
My view is that an investor is better off knowing a lot about a few investments than knowing a little about each of a great many holdings. One's very best idea's are likely to generate higher returns for a given level of risk than one's hundredth or thousandth best idea.
Cacao has the highest antioxidant concentration of any major food in the world. Cacao is thirty times higher in antioxidants than red wine, twenty times more potent in antioxidants than blueberries, three times higher than acai, and twice as much as chaga mushrooms. These antioxidants protect our cells from free radical damage and therefore contribute to our longevity and state of well-being.
If you put 100 people on an island with no food, no water, no hope of a ship coming, then some will overcome it and be resourceful, some will live in it, others will panic, and others will show horrific character, which is wrong. But not to understand that all alternatives are possible is wrong as well.
A lot of guys are offensive minded, which is good at some points and times but bad at others - at lots of others. I wish I could say I want everybody to play defense as hard as I do. It's not a reality.
It has been our experience that if a young man decides to go on a mission, he can not only play well when he returns, he will often play better. If an athlete could play well before he went on a mission, he will definitely play well when he returns; and, if an athlete could not play well before his mission, he probably won't play well when he returns. However, his chances of playing well are perhaps better if he goes because he will return with . . . better work habits, and a better knowledge of what it takes to be successful.
What you pay for an investment is the single biggest determinant for how successful that investment will be. When equity prices are high, your returns will be lower. When they are cheap, your returns will be higher.
And that because the moving parts are a million times smaller than the ones we're familiar with, they move a million times faster, just as a smaller tuning fork produces a higher pitch than a large one.
The margin of safety is always dependent on the price paid. It will be large at one price, small at some higher price, nonexistent at some still higher price.
Some eyes threaten like a loaded and levelled pistol, and others are as insulting as hissing or kicking; some have no more expression than blueberries, while others are as deep as a well which you can fall into.
Edge also implies what Ben Graham....called a margin of safety. You have a margin of safety when you buy an asset at a price that is substantially less than its value. As Graham noted, the margin of safety 'is available for absorbing the effect of miscalculations or worse than average luck.' ...Graham expands, "The margin of safety is always dependent on the price paid. It will be large at one price, small at some higher price, nonexistent at some still higher price."
If our well-being depends upon the interaction between events in our brains and events in the world, and there are better and worse ways to secure it, then some cultures will tend to produce lives that are more worth living than others; some political persuasions will be more enlightened than others; and some world views will be mistaken in ways that cause needless human misery.
Once again the Naderites were onstage attacking the Educational Testing Service - the organization which develops and administers the scholastic aptitude tests...the reason for the wax is that the E.T.S. tests persist in showing some people to be smarter than others. And if some people are smarter than others, there might actually be some justification for an economic system in which some people have more money and authority than others.
In many ways, large profits are even more insidious than large losses in terms of emotional destabilization. I think it's important not to be emotionally attached to large profits. I've certainly made some of my worst trades after long periods of winning. When you're on a big winning streak, there's a temptation to think that you're doing something special, which will allow you to continue to propel yourself upward. You start to think that you can afford to make shoddy decisions. You can imagine what happens next. As a general rule, losses make you strong and profits make you weak.
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