Stocks:
- Stocks are considered the highest-returning financial assets, by a wide margin compared to all other assets, including gold and long- and short-term bonds.
- The stock market is not a place to create wealth, but a place to preserve and protect it.
A proficient stock analyst:
- An educated person who combines the abilities of an accountant and an economist.
- Converts numbers into economic data.
- Receives economic changes and translates them into numbers.
Three weaknesses that cause problems in investing:
- Fear.
- Greed.
- Emotions.
Investors’ circumstances:
Investors’ circumstances affect the type of investment. For example, a retiree cannot take on high-risk investments, as do economic change conditions, in addition to obligations and loans.