Investment Fundamental - Part I

Why you lose money?
1. Payment of more than the instrinsic worth of the security.
2. Significant deterioration in a company's position.
3. Loss realized through actual sale.
4. Straying from fundamental investing disciplines.

Investing Rules
1)For Long Term investors, short-term price fluactuations are of little important.
2)TRY NOT TO LET YOUR EMOTIONS AFFECT YOUR JUDGMENT. FEAR AND GREED ARE PROBABLY THE WORST EMOTIONS TO HAVE INCONNECTION WITH PURCHASE AND SALE OF STOCKS.


By,
Eclectic Investor - Part I