Clever Investor

Ten Commandments for the clever investor

  1. Buy on the rumors – sell on the news.
  2. Stay away from  the consensus. The consensus is always wrong.
  3. Diversify your investments.
  4. Be suspicious to the experts.
  5. In the long run the basic economics win.
  6. Don’t leverage your portfolio.
  7. Don’t be greedy –Sell before the top.
  8. Received a bad tip? Sell and cut your losses. The tip will not improve with time.
  9. Watch the messenger. When he is starting to trade get out of the market.
  10. Don’t start to admire your ability to make profits. You don’t have such ability. It’s probably luck.

==> by Dr. Amram Aharoni, Investment Theory Lecturer at IDC