- If it seems too good to be true, it probably is.
- Always look at how much the other guy is making when he is trying to sell you something.
- Stay away from leverage. Nobody ever goes broke that doesn't owe money.
Saturday, July 11, 2009
Warren Buffett's Investment Advice for You
Billionaire investor, Warren Buffett, is never short of offering investment advice. On Friday, on ABC's Good Morning America, some advices were featured.
In the interview, Bianna Golodryga, asked for his top three pieces of advices for the average American who want to grow their money and keep it safe.
In addition, he also finds important lessons drawn from his favorite game.
"In bridge, everything anybody does or doesn't do, you're drawing references from, including your partner and your opponents. You're working with a partner. If you don't work well with partners you're not going to have a winning bridge team over time. And everything you've learned from the past has some utility on the next hand you play. The next hand, you've never played it before and you'll never play it again in your life. But on the other hand, the problems you've solved in the past are useful in solving the problems there. And you have to keep paying attention all the time. You can't coast."
Asked if it is worth the high price for college education given the struggling economy. His response:
"Generally speaking, investing in yourself is the best thing you can do. Anything that improves your own talents. Nobody can take it away from you. They can run up huge deficits, the dollar can become worth far less, you can have all kinds of things happen. But if you've got talent yourself, and you maximize your talent, you've got a terrific asset. That doesn't mean everybody should go for college."