The 80/20 Investor Quotes

“real estate is cheap and offers great rental yields, they buy real estate.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“At the risk of repeating myself, every investor’s goal is to buy an investment at a low price and then sell it at a higher price. Buy low and sell high! The one thing that always keeps you from accomplishing this simple mission is yourself, not because making the purchase or sale is difficult to find out or to accomplish.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“For example, people ask me about Eastman Kodak’s slow disintegration and financial struggle. Let me tell you that people at Kodak knew where the wind was blowing. The decline in sales of photographic film and its slowness in transitioning to digital photography was no surprise to anybody who studied it intensively or was directly involved. Listen to your intuition and sell, or even better, don't invest in it at all.   Selling”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“when a publicly listed company decides to go private again, as Dell Computers did in 2013. Take this setback with decorum, receive your cash, keep it in your cash portfolio, and wait for the next opportunity. A proxy fight or even becoming a private investor in a new entity is not worth your work and time -- especially for individual investors.   Listen”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Taxi drivers told you what to buy. The shoeshine boy could give you a summary of the day's financial news as he worked with rag and polish. An old beggar who regularly patrolled the street in front of my office now gave me tips and, I suppose, spent the money I and others gave him in the market. My cook had a brokerage account and followed the ticker closely.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“He understood that during depressed markets, if you can get a decent average price at a bottom price range, it would make the selling part much easier, even if you misjudged the timing of the sales.   To”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“They are never worried about ideal bottom prices, or ideal top prices for that matter. They understand a decent average price is key to future investment success. Use”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“The rumors were that at least one of the three largest commercial banks would go bankrupt, similar to LTCB (Long Term Capital Bank) a couple of years before, causing a market shock that would reverberate around the world.   I”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Tully always had a knack for seeing opportunity where others couldn’t. A true entrepreneur, he developed several companies from scratch with enormous success, but also with a fair share of failures and mistakes.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“The company made an additional $9.4 billion in Alibaba’s 2014 IPO (Initial Public Offering). 54   Son wasn’t finished yet. He kept his 34.4% stake in Alibaba.  It was worth $57.8 billion at the time of the Initial Public Offering in 2014. He waited for almost 14 years to see the payout and he is still holding on to his shares. He doesn’t need to sell. That is long-term investing at its finest, where one single decision can make all the difference and everything else pale in comparison. The”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“People who observe me say I’m so much happier.” Ironically, Yahoo has become a proxy for Alibaba and nothing more, and only Yang got a seat on Alibaba's board, nobody else from Yahoo did. 53   The”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“I wanted to be able to do things at my own pace,” he said. “I wanted to make mistakes and nobody would care.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“If you were a software developer who knew a lot about cloud computing, you would instantly be familiar with software companies such as Salesforce.com. If you were working in food marketing, your would clearly be familiar with Nestle, Mondelēz International or Yum! Brands. The point here is that there would never be a need to screen thousands of companies in industries you don’t know anything about and haven’t even heard of.   Animal”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“you bought a single company, which applies excessive financial leverage, the risk of losses is very real, and you could lose your entire investment.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“The test accident almost bankrupted Boeing,”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Investing entails risk, and risk means that you could lose money occasionally for reasons that are beyond your control. However, you can make sure to reduce the possibility of errors by controlling your decision making process.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“So where do you get the cash from? All humans have one asset given from birth: time. Investing itself starts early on.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“The relationship between the price you pay and the value you receive is the most important factor in determining your future investment returns.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“traders who are honest with themselves, will admit that being consistently successful in this game is extremely hard. Some studies suggest that 95% of traders lose money, and “only 5% of traders can make a living at it,” or “only 1% of traders really make big money.” 39   John”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“In a competitive market environment, as an individual investor, you could study the global economy, your local economy, or any single company to death and still come to the wrong investment conclusions, as do many professionals.   Ask”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Professionals are forced to read mountains of research to stay ahead of the competition, forced to develop complex financial models and sophisticated charts, and, most importantly, explain themselves to impatient and demanding investors once a month through newsletters and presentations.   All”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Play the game by their rules (professionals), or play your own game, with your own set of rules, that follow common sense and have a much better chance of winning. It is your choice!      ”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“you can think better about the market; you don’t hear so many stories, and you can just sit and look at the stock on the desk in front of you. You can think about a lot of things.” 32   Buffett”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“he bought all the stocks and businesses he understood, knew for a long time, which he was dead certain were “super bargains.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“they traveled from city to city and decided on their next destinations based upon the trading opportunities and the political situation.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Risk of Financial Leverage This risk of loss increases exponentially when we add any form of financial leverage, i.e. borrowing money to invest.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“management risks, litigation risk, and about specific operational risks,”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“If you don’t know what you are purchasing, you are just taking unnecessary risk. If you haven’t done your homework to really understand the characteristics of an investment class, you are taking risk.”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Per the dictionary definition, risk is “a situation involving exposure to danger, harm, or loss.” We face the possibility of loss in whatever we buy or invest in.   For”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns

“Bad investments are the exact opposite. They require constant new capital to keep an investment going at ever lower returns, or in the worst case, negative returns - in effect your are burning money.   Finding”
― David Schneider, The 80/20 Investor: How to Simplify Investing with a Powerful Principle to Achieve Superior Returns