Warren Buffet, 1993 Berkshire Hathaway Annual Report:
"The strategy we've adopted precludes our following standard
diversification dogma. Many pundits would therefore say the strategy must be riskier than
that employed by more conventional investors. We disagree. We believe that a policy of
portfolio concentration may well decrease risk if it raises, as it should, both the
intensity with which an investor thinks about a business and the comfort-level he must
feel with its economic characteristics before buying into it."
"... Obviously, every investor will make mistakes. But by confining
himself to a relatively few, easy-to-understand cases, a reasonably intelligent, informed
and diligent person can judge investment risks with a useful degree of accuracy."
In recent years, as my age and my income have both "improved," I
have become more interested and involved in investing and financial planning. As a
teenager, I had a passing interest in investing, took a few classes, and dabbled in the
stock market without any real understanding or long-term commitment. The outcome was,
predictably, disappointing. More recently, after more thorough study and research, my
efforts have met with greater success, although my portfolio is still relatively small.
I generally rely on NAIC
Association of Investment Clubs) research guidelines, but I also seek out further
information, both systematic and unique to each company. I highly recommend membership in
the NAIC for its research and educational support of investors.
The following links lead to WWW links that I return to frequently for their research, informational, and educational value.
Investment Associations & Analysts
News, Education & Research
|National Assoc. of Investors Corporation||CNN Financial News|
|American Association of Individual Investors||StockWizard|
|Active Traders Network||W3OTC: Small stock discovery|
|Financial Engines Investment Advisor||ValueLine|
|Raging Bull||Yahoo's financial investing|
|The Motley Fool||The Starting Point|
|Educational Employees Credit Union||Investor Protection Trust|
I can be reached by e-mail, snail-mail, telephone, or fax at:
DR. GREGORY K. STEPHENS
Texas Christian University
Department of Management
Fort Worth, Texas 76129 USA
Tel: (817) 257-7548
Fax: (817) 257-7227
E-mail (work): email@example.com
E-mail (home): firstname.lastname@example.org