Don’t-walk-run to read GMO’s James Montier Seven Immutable Laws of Investing:
1. Always insist on a margin of safety
2. This time is never different
3. Be patient and wait for the fat pitch
4. Be contrarian
5. Risk is the permanent loss of capital, never a number
6. Be leery of leverage
7. Never invest in something you don’t understandThe full post is found at GMO’s site.
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Always painful to hear at the start of your investment journey – because they sound pretty obvious, or worse yet (I’ve been guilty!) one or more “don’t apply to me!” Take heed, these are fundamental rules!
