Stocks and Bonds

Wouldn’t you love to know what Warren Buffet knows?  How does he do it?  Does he have the Midas touch or what?!  Investing in stocks isn’t rocket science according to Mr. Buffet, but it does require a little work and research.  To succeed in Stock investing, like anything else you succeed in, you need to have a passion for doing it.  You can’t just throw a dart at a stock chart and buy shares.  If you don’t have a desire to do the needed research don’t buy stock.  Invest in what you are interested in. 

   If you are excited about investing in stocks here is the Warren Buffet secret in a nutshell.  Buy stock in a company that has a stock with a price that is lower than it’s intrinsic value.  The intrinsic value of a company is comprised of the things about that company that are good and solid.  The company may have some great managers.  It may have a great product that will have value for years to come.  The company may also have some great ideas for the future that will keep it viable in the market.

   Warren bought lots of stock in Coca Cola when the price was right.  He knew that Coke wasn’t going to go away.  He also buys stock in companies that he understands.  He doesn’t buy technology stocks because he doesn’t understand the tech business.  He also believes in buying stock and holding it long term.  If you are into buying stock as your investment, be in it for the long haul and relax.  If you love it, you will be successful.