Aguytrying wrote:VituVingiSana wrote:cnn wrote:VituVingiSana wrote:Why are folks trying to 'time the market' ... Warren Buffett doesn't believe in timing the market as much as buying value & he has done very well. Timing the market is always attractive when looked at in hindsight.
He is good at what he knows best.We can't all be Warren Buffetts.One has to know what they are in the market for and try find their own best way in navigating it, to achieve their end.
WB advises us lesser mortals not to bother with timing the market. If WB with all his knowledge and market savvy (gathered over 70 years) cannot time the market, how can we? Food for thought.
I like the way he says it doesn't matter whether it's an election year or any other funny signs.
I'm being guided by my valuations.... But it's tempting to time, won't play that game this time round
Yes. WB looks at it from very interesting (& sensible) perspectives.
1) Don't just buy shares, buy a piece of the company i.e. would you buy the entire company at this price? If yes, buy. If no, then do not.
2) Buy shares in a company if you don't mind owning the shares if the market shuts down for 10 years. Even though I hope KK is taken over, I do not mind buying KK at 9/- to hold for the next 10 years.
3) He doesn't look for turnarounds. He buys management i.e. if he doesn't trust the management, he doesn't buy. He doesn't want to try to change the management. He wants a good and trustworthy management. Today, that criterion has eliminated HAFR, OCH, NBK, KQ, Sameer, Eveready, etc from my list.
4) Timing doesn't work for most people. We never get in at the lowest price nor get out at the highest price. Just get in when there's a discount. Socks or stocks are best bought at a discount. He isn't a seller so I don't know what he says about bailing out. Recently, he sold Tesco as well as shares in some oil firms.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett