The death of the bull market is not the bad news

everyone believes it to be. Thanks to the decline in stock prices, now

is a considerably safer—and saner更明智—time to be building wealth.

Speculation is always fascinating, and it can be a lot of fun while?

you are ahead of the game. If you want to try your luck at it, put aside?

a portion——the smaller the better—of your capital in a separate?

fund for this purpose.?

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Never add more money to this account just because the?

market has gone up and profits are rolling in.

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Never mingle混合 your speculative and investment operations?

in the same account,nor in any part of your thinking.

We recommended that the investor divide his holdings between

high-grade bonds and leading common stocks; that the proportion

held in bonds be never less than 25% or more than 75%, with the

converse顛倒的 being necessarily true for the common-stock component;

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As an alternative policy he might choose to reduce his common-stock

component to 25% “if he felt the market was dangerously high,”

and conversely to advance提高 it toward the maximum of 75% “if he

felt that a decline in stock prices was making them increasingly

attractive.”

The enterprising有事業(yè)心/膽量的 investor under today’s conditions still has?

various possibilities of achieving better than average results.?

All of human unhappiness comes from one single thing: not

knowing how to remain at rest休息/靜止 in a room.

★★★

An investment operation is one which, upon thorough analysis,?

promises safety of principal and an adequate適當?shù)?return.

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?you must thoroughly analyze a company, and the soundness of its

underlying businesses, before you buy its stock;

?you must deliberately protect yourself against serious losses;

?★★★you must aspire to “adequate★適當?shù)?” not extraordinary極致的,?

performance.

An investor calculates what a stock is worth, based on the value of

its businesses. A speculator gambles that a stock will go up in price

because somebody else will pay even more for it.

Speculating in the market can be exciting or even rewarding.

But it’s the worst imaginable way to build your wealth.

The intelligent investor has no interest in being temporarily?

right. To reach your long-term financial goals,

you must be sustainably持續(xù)的 and reliably可靠地 right.?

The public felt more knowledgeable about the markets

than ever before. Unfortunately, while people were drowning?

in data,knowledge was nowhere to be found.?

?You must never delude欺騙 yourself into thinking that you’re investing

when you’re speculating.

?Speculating becomes mortally致命地 dangerous the moment you begin

to take it seriously.

?You must put strict limits on the amount you are willing to wager下賭注.

The intelligent investor designates a tiny portion of her total?

portfolio as a “mad money” account.?

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For most of us, 10% of our overall wealth is

the maximum permissible可允許的 amount to put at speculative risk.

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Never mingle混合 the money in your speculative account with what’s in your?

investment accounts; never allow your speculative thinking to spill使溢出?

over into your investing activities; and never put more than 10% of?

your assets into your mad money account, no matter what happens.

★★★

For better or worse, the gambling instinct is part of human nature—

so it’s futile for most people even to try suppressing it.?

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But you must confine限制 and restrain約束/克制 it. That’s the?

single best way to make sure you will never fool yourself into?

confusing speculation with investment.