myinvestingnotes.blogspot.my (Bullbear Buffett Stock Investing Notes)

Keep INVESTING Simple and Safe (KISS) ****Investment Philosophy, Strategy and various Valuation Methods**** The same forces that bring risk into investing in the stock market also make possible the large gains many investors enjoy. It’s true that the fluctuations in the market make for losses as well as gains but if you have a proven strategy and stick with it over the long term you will be a winner!****Warren Buffett: Rule No. 1 - Never lose money. Rule No. 2 - Never forget Rule No. 1.

Always write down the reasons, pro and con, before making a purchase or a sale

Investments and Risk Reward Ratio

"No risk, no reward." "Higher risk, higher returns."

Evaluating Quality first, then Price. Fair price is one associated with adequate return at acceptable risk.

To Buy or Not to Buy: Quality first, then Potential Return at an Acceptable Risk.

When evaluating the price, look at the potential return and the risk you must take to get that return.

Understanding Risk and Return tradeoff

The relationship of risk and potential reward in stock investing is often misunderstood in shaping an investment strategy.

The higher the risk, the higher the potential return, and the LESS LIKELY it will achieve the higher return

Good quality company but trading at high price - Add this to your "watch list."

7 investment risks and how to deal with them

Understanding Risk and Reward relationship

Risk versus Reward

Reward-risk Chart

This strategy is very safe for selected high quality stocks. Margin of Safety Principle

Concept of Risk vs. Reward

Risk-Return Tradeoff

Every Choice Comes with Risk

What is Risk?

A stock price must past 2 tests to be considered reasonable.