Here is our question, does the price of undervalued stock fall when general market decline? If you bought some undervalued stocks, and the general stock market, like the S&P 500 index, is expected is decline, will your undervalued securities fall down along with the general market? Warren Buffett, the legendary value investor, said yes as early […]
Tag: stock investing
The Question of Conservatism
Editorial note: this article is an excerpt from Buffett Partnership Letter, January 24, 1962 The above description of our various areas of operation may provide some clue as to how conservatively our portfolio is invested. Many people some years back thought they were behaving in the most conservative manner by purchasing medium or long-term municipal or government […]
Buffett on Stock Market Forecasting
The following article is an excerpt from Buffett Partnership Letter, July 12, 1966 Ground Rule No. 6 (from our November packet) says: “I am not in the business of predicting general stock market or business fluctuations. If you think I can do this, or think it is essential to an investment program, you should not […]