TOPIC:
We all want to become rich investing in stocks but have we ever asked ourselves what is the most efficient way to invest in stocks and create wealth? How to invest in order to get higher return?
Infact, you can become rich by following warren buffets principles.
As you all know, warren buffet is the second richest man in the world who made his fortune through investing in stocks using value investing.
So the first principles is:
You need to see stocks as an ownership in a business.
Look for and Evaluate businesses that have competitive advantages, mode around it for a long time. Evaluate businesses that has competitive advantage, and are easy to understand
Buy it at an intrinsic value.
So, approaching stocks, you need to have right mindset about it. You need to see stocks as an ownership in an business. Not a symbol ticker that goes up and down. youtu.be/yaXmmaEs-hU?t=48s UNTIL 1:23min. So stocks are ownership in a business and you need to stay with them for long time.
Second, look for companies that have competitive advantages. Companies that have mode around them. Like coca cola's mode is its taste which set him apart from other companies. Coca cola now owns almost 48% of the carbonated drink market to pepsi 31%.
So for long term perspective companies with an advantages will likely be producing higher.
And last principle, is find intrinsic value of the stock when you are purchasing. Which means finding its true value of stock of how its worth. As said in the book:
Page 67 of 819 OR 15 of PDF.
So, when buying stock first see how much it is worth. And if it is lower than what it's worth, that's when you should buy.
CONCLUSION: So given these points, when you think of buying a sock first think of it as if you are buying a business or farm or an apartment. You look at how much its going to produce. And then, what are the advantages that it has that makes it better than other businesses. And then end, buy it at an intrinsic value which is buying it cheap and selling it what is worth. If you sell it over what its worth then it would be speculation and high risk.
NOTE*: Dont worry about the outline and format. Just by reading the contents can you say this as an informative speech essay? is the topic informative?
How to invest in stocks using warren buffet principles
We all want to become rich investing in stocks but have we ever asked ourselves what is the most efficient way to invest in stocks and create wealth? How to invest in order to get higher return?
Infact, you can become rich by following warren buffets principles.
As you all know, warren buffet is the second richest man in the world who made his fortune through investing in stocks using value investing.
So the first principles is:
You need to see stocks as an ownership in a business.
Look for and Evaluate businesses that have competitive advantages, mode around it for a long time. Evaluate businesses that has competitive advantage, and are easy to understand
Buy it at an intrinsic value.
So, approaching stocks, you need to have right mindset about it. You need to see stocks as an ownership in an business. Not a symbol ticker that goes up and down. youtu.be/yaXmmaEs-hU?t=48s UNTIL 1:23min. So stocks are ownership in a business and you need to stay with them for long time.
Second, look for companies that have competitive advantages. Companies that have mode around them. Like coca cola's mode is its taste which set him apart from other companies. Coca cola now owns almost 48% of the carbonated drink market to pepsi 31%.
So for long term perspective companies with an advantages will likely be producing higher.
And last principle, is find intrinsic value of the stock when you are purchasing. Which means finding its true value of stock of how its worth. As said in the book:
Page 67 of 819 OR 15 of PDF.
So, when buying stock first see how much it is worth. And if it is lower than what it's worth, that's when you should buy.
CONCLUSION: So given these points, when you think of buying a sock first think of it as if you are buying a business or farm or an apartment. You look at how much its going to produce. And then, what are the advantages that it has that makes it better than other businesses. And then end, buy it at an intrinsic value which is buying it cheap and selling it what is worth. If you sell it over what its worth then it would be speculation and high risk.
NOTE*: Dont worry about the outline and format. Just by reading the contents can you say this as an informative speech essay? is the topic informative?