Ray Dalio

Top 20 tips by the all time investors

Howard Marks: Smart Investing doesn’t consist of buying Good Assets, but of buying Assets ‘Well’… This is a very, very important Distinction that very, very few people understand. “


Warren Buffett: “Investors should remember that Excitement and Expenses are their Enemies. And if they insist on trying to ‘Time’ their Participation in Equities, they should try to be ‘Fearful’ when others are Greedy and ‘Greedy’ only when others are Fearful.”


John Templeton: “For all long-term Investors, there is only One Objective – Maximum total Real Return after Taxes.”


Benjamin Graham: (Guru of Buffett) “It is absurd to think that the general public can ever Make Money out of ‘Market Forecasts’…”


George Soros: “If Investing is Entertaining, if you’re having Fun, you’re probably not Making any Money. Good Investing is ‘Boring’…”


Jack Bogle: “If you have trouble imaging a 20% Loss in the Stock Market, You Shouldn’t be in Stocks.”


Bob Farrell: “The Public buys the most at the Top and the least at the Bottom.” And, “When all the experts and forecasts agree – ‘Something Else’ is going to happen.”


Jeremy Grantham: “By far the biggest problem for professionals in Investing is dealing with Career and Business Risk: protecting your own job as an agent. The second curse of Professional Investing is Over-Management caused by the need to be seen to be busy, to be earning your keep. The individual is far better-positioned to wait patiently for the ‘Right Pitch’ while paying no regard to what ‘Others’ are Doing, which is almost impossible for Professionals.”


Barton Biggs: “Quantitatively based Solutions and Asset Allocation equations invariably fail as they are designed to capture what would have worked in the ‘Previous Cycle’ whereas the next one remains a ‘Riddle’ Wrapped in an Enigma.”


Philip Fisher: “The Stock Market is filled with individuals Who know the ‘Price’ of Everything, but the ‘Value’ of Nothing.”


Ken Fisher: “You can’t develop a Portfolio Strategy around endless possibilities. You wouldn’t even get out of bed if you considered everything that could possibly happen….. You can use ‘History’ as one tool for shaping reasonable Probabilities. Then, you look at the world of economic, sentiment and political drivers to determine what’s most likely to happen—While always knowing you can be and will be wrong a lot.”


Charles Ellis: “The average Long-term experience in investing is never surprising, but the Short-term experience is always Surprising. We now know to focus not on ‘Rate of Return’, but on the informed Management of Risk”…


Bill Miller: “The Market does reflect the available Information, as the professors tell us. But just as the funhouse Mirrors don’t always accurately reflect your weight, the Markets don’t always accurately ‘Reflect’ that Information. Usually they are too pessimistic when it’s Bad, and too Optimistic when it’s Good.”


Thomas Rowe Price Jr: “Every Business is Manmade. It is a result of individuals. It reflects the Personalities and the Business Philosophy of the founders and those who have directed its affairs throughout its existence. If you want to have an Understanding of any Business, it is important to know the ‘Background of the People’ who started it and directed its Past and the Hopes and Ambitions of those who are planning its Future.”


Carl Icahn: “We have bloated Bureaucracies in Corporate America. The root of the problem is the absence of Real Corporate Democracy.”


Peter Lynch: Investing Without ‘Research’ is like playing Stud Poker and never looking at the Cards.”


John Neff: “It’s not always easy to do what’s not popular, but that’s where you make your money. Buy Stocks that look bad to less careful investors and hang on until their Real Value is recognized.”


Henry Kravis: “If you don’t have Integrity, you have nothing. You can’t buy it. You can have all the Money in the world, but if you are not a Moral and Ethical Person, you really have nothing.”


Ray Dalio : “An Economy is simply the Sum of the Transactions that make it up. A transaction is a simple thing. Because there are a lot of them, the economy looks more complex than it really is. If instead of looking at it from the top down, we look at it from the transaction up, it is much easier to Understand.”


Jesse Livermore: ‘Play the Market’ only when all factors are in your favour. No person can play the market all the time and win. There are times when you should be completely Out Of the Market, for Emotional as well as Economic Reasons.