Investment Caution Quotes

I never try to predict the market.

You don't want too much fear in a market, because people will be blinded to some very good buying opportunities. You don't want too much complacency because people will be blinded to some risk.

I am not for buying into financial services firms because I am not sure of the quality.

Be risky at work. Be safe with your investments.

Cheer the bull, or cheer the bear; cheer both, and you will be trampled and eaten.

The first rule of trading - there are probably many first rules - is don't get caught in a situation in which you can lose a great deal of money for reasons you don't understand.

One of the rules I've learned is that struggling to try and think your way into making an investment is usually the best way to not have a great outcome.

Never, never try to scope the market.

Investing is fun and exciting, but dangerous if you don't do any work.

I don't really like hedging. To me, if something needs to be hedged, you shouldn't have a position in it.

Investors should remember that excitement and expenses are their enemies.

Never invest in a business you don't understand.

Investors should start with a view of skepticism. They should become intellectual investors rather than emotional investors. They should be careful, and they should be skeptical.

It's not that we can predict bubbles - if we could, we would be rich. But we can certainly have a bubble warning system.

I knew a guy who had $5 million and owned his house free and clear. But he wanted to make a bit more money to support his spending, so at the peak of the internet bubble he was selling puts on internet stocks. He lost all of his money and his house and now works in a restaurant. It's not a smart thing for the country to legalize gambling [in the stock market] and make it very accessible.

People come in. They are too gung ho. They invest too much money in things they don't know. They lose it and then they clam up and stop investing. Then they miss the actual boom. That's the nature of the market.

My basic advise is don't lose money

I get very worried that people that are buying bitcoins don't really understand what they're participating in other than the headline stories that it keeps going higher and 'I want to make sure I don't miss this opportunity to make some money.'

I don't invest in what I don't understand. And I don't want to understand Facebook.

Don't live beyond your means. Don't buy more than you can pay for. Don't expect to get rich quick. And don't confuse salesmen for friends or advisers.

My wife and I invest very, very conservatively.

I could never gamble on stocks and shares because I saw my father get hurt that way - he lost quite a lot of money when the stock market collapsed in 2001.

Investment must be rational; if you can't understand it, don't do it.

If you understood a business perfectly and the future of the business, you would need very little in the way of a margin of safety. So, the more vulnerable the business is, assuming you still want to invest in it, the larger margin of safety you'd need. If you're driving a truck across a bridge that says it holds 10,000 pounds and you've got a 9,800 pound vehicle, if the bridge is 6 inches above the crevice it covers, you may feel okay, but if it's over the Grand Canyon, you may feel you want a little larger margin of safety.

Truly wealthy people develop the habit of "getting rich slow" rather than "getting rich quick." To assure this, they have two rules with regard to money. Rule number one: Don't lose money. Rule number two: If ever you feel tempted, refer back to rule number one, "don't lose money."