Is in the “value investing”, one of the “quality” jobs?

How much bloodshed financial need before we realize that a shortcut for safe and easy for investment success?

When did we learn that most of our mistakes on greed or fear or unrealistic expectations about our own?

Ultimately, successful investors on asset allocation to the target-oriented strategy “realistic investment … Current security selection and monitoring process with realistic expectations to guide and the rules and guidelines for the management to define. If you are considering trying to develop a strategy for a year to see if it works, I would be another blow to the President! Meaningful investment strategies outside the sessions not years, and consider “equity investment strategies” viable disciplined three activities, first choice. Most strategies ignore the knowledge of any of the others.

How should an investor to buy shares, and when to buy?

Will Rogers outlined: “only for buying high. If they don’t will go up, they don’t buy it. “Is already much wrong this sarcastic comment and join the Club” (something) high “. I found that “low-value stocks (random) buy” better business approach. A Google search produces a variety of standards that help define “value” stocks are low price to book value and lower rates of complications and other essentials. But would be surprised how different definitions, and how little and the word “quality”. In the late 1990s, reportedly known value Fund Manager and asked why he didn’t buy dotkoms, IPOs, etc. When they were described as “credits value”, and was told to change his profile … Or otherwise.

How can we create confidence-building “universe selection arrows”?

Works simply on blind faith with uniform definitions can be very simple, especially since so many numbers come from the subject. Also, some figures may be difficult to obtain, and it is not in the research involved. Here are five filters that you can use for the production of top quality universe setting, you can cheap all data from the same source:

1. S & P rating of b + or better. Level & p important financial data provider of investment services, earnings, and profits are taken joint stock “combines many important factors and quality ranking letter speaks only of the financial health of companies. Potential market performance (guessing game anyway) is not effective. B + and higher degrees are “level of investment. Slightly less classification adds unnecessary speculation element to the Clipboard. The staff of thousands of your search.

2. history of profitability. Although it seems clear, buying a company that has a history of profitable operations is less chance of keeping shares in installed, or an entity to begin with. Profitable activities are easier to adapt to changes in the markets and economies and opportunities for business growth. More likely to develop opportunities for profit for you soon.
3. regular dividend payment date. Regular payment of dividends, and periodic increases in the pay rate, signs of sure economic feasibility. Companies will go to great lengths and suffer major problems before election cut or delete a dividend. There is no need to focus on profitability, don’t buy it as income producers. Another advantage of using pay dividend if one of your selection criteria a clear signal to the financial pressures that cut communication.
4. reasonable price range. Find the most stock “investment grade” above $ 10 per share and that little trading at levels above $ 100. If you have figure seven, price is important from the point of view of diversification, but in smaller portfolios, many around $ 50 shares may be too many risks in one place. Prices may be caused by the unusually high degree of uncommon or sector-specific speculation while the company can excessively alarm low prices are good. With no real structural constraints, I feel comfortable with ranging from $ 10 and $ 90 per … But I would avoid most of the problems to a higher level.
5. securities listed security. I’m not sure that the listing requirements of the NYSE still more restrictive than anywhere else, but it is useful to be able to concentrate on only one set of statistics, as most of the information you regularly reported Exchange (market stats, the extent of the problem and new highs versus new lows).

“The universe will be” your spine “capital investment program” there is no space for creative adjustments to the rules and guidelines, so I founded … No matter how strongly you feel about the recent news or rumor feels. Now you can focus on running the actions that will help you to diversify properly position, size, industry, etc., and on guidelines that will help you identify where to look closely to buy stocks when the price is right. Taking into account that you want to sell any “equity” in profit target as soon as possible, you will have to create and buy (sales) rules. For example, I never buy shares to drop at least 20% of the highest level in the past 52 weeks, so I include those that are close or price level, click the “Watch list”. Then select the ones that I would like to add to portfolios of equity if they are a bit more during the trading day. Effective “buy list” changes every day and maximum symbol rate.

You must provision disciplined and consistently apply to the final selection process can, but you from a selection of the most beautiful and established companies with core profitability and awareness record owner choose confidant. Also, these companies ring above and below your purchase price (they will be complete), can be more confident is simply the nature of the stock market and financial disaster threatens … And that should help you sleep nights.

Never say no to profit when bullish is equal to 10% and will be able to do it again and again and again.