Warren Buffett's Investment Strategy
Warren Buffett's Investment Strategy Warren Buffett is one of the most respected and popular investors of all time. What made him an investment legend? What is his secret to success? Warren Buffett's Philosophy There are some of the most important Buffett investing principles are: 1. Look for a margin of safety - A principle of investing in which an investor only purchases securities when the market price is significantly below its intrinsic value. When the market price is below your estimation of the intrinsic value, the difference is the margin of safety. The margin of safety allows an investment to be made with minimal downside risk. 2. Look for quality - Don't invest in junk, struggling businesses. It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price. 3. Don't follow the crowd - Best way to invest is to ignore the crowd entirely and focus on finding value on your own. 4. Don't fear market crash and correction