- A great company isn’t always a great investment, while a bad company can be a great investment.
- In this environment, it’s very difficult to find great investments as only 35% of listed companies are creating value for shareholders.
- The essence of investing is to find mismatches between the market’s perception and the company’s future.
One of the most famous investing quotes is Buffett’s reflection on owning great businesses:
“It’s far better to buy a wonderful company at a fair price than a fair company at a wonderful price.”
In the current market, investors seem to focus only on the “wonderful company” part and totally forget the “fair price” part. More →