Sunday, February 10, 2008

My Investment Principles

I am totally not an expert on investment. I do invest. I set some rules for myself to invest. Please make sure you understand point 10.

  1. Basic principle: don't lose money.
  2. Point number one.
  3. If you buy a stock low enough, then you are pretty much safe and you feel more secured.
  4. Don't try to have every stocks. Pick a couple of great stocks.
  5. Stay away from greed and fear.
  6. Don't over borrow $.
  7. Look for dividend and earning potential of a company.
  8. Set financial goals before you invest.
  9. Don't pick a stock by only relying on those "experts" opinions.
  10. Your friends' opinions are just "reference".
  11. Never think you are or there is anyone in the world would predict short term stock price.
  12. Use your own brain to make decision.
  13. Keep learning while you invest.
  14. Never quit your job to make investment your full time.

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