The Intelligent Investor: The Investor and Inflation

There is no close time connection between inflationary (or deflationary) conditions and the movement of common-stock earnings and prices. In 50… five year periods (or 78% of the time), stocks outpaced inflation. That’s impressive, but imperfect; it means that stocks failed to keep up with inflation about one-fifth of the time. This chapter did two… Continue reading The Intelligent Investor: The Investor and Inflation

The Intelligent Investor: Investment versus Speculation

‘This investment operation is one which, upon thorough analysis promises safety of principle and an adequate return. Operations not meeting these requirements are speculative’… There is intelligent speculation as there is intelligent investing. But there are many ways in which speculation may be unintelligent. Of these the foremost are: (1) speculating when you think you… Continue reading The Intelligent Investor: Investment versus Speculation

The Art of Worldly Wisdom Rule 91: Never act unless you think it prudent to do so

I had my doubts about this book based on the author and his biography and the first few rules. I expected pompousness and vagueness, but The Art of Worldly Wisdom proved to contain some actionable advice and insights.  In the coming posts, I will write the rule and attempt to examine how it applies to… Continue reading The Art of Worldly Wisdom Rule 91: Never act unless you think it prudent to do so