What Is the Secret to Making Big Money in the Market?

Charlie Munger died at 99, six weeks before his 100th birthday. His most famous quote is one I come back to constantly. The big money is not in the buying or the selling. It is in the waiting. There are two parts to that. The first is buying when markets are down and everyone else is scared. When you are most fearful, the businesses you are buying are most likely at their cheapest. That is when you get the best value. The second part is simply allowing the people running these businesses to do their job. Human endeavour and human progress over decades. Better products, more sales, higher revenue, growing profitability. That just takes time. CSL is a perfect example. It listed at around 76 cents a share. It ran all the way to $340 before pulling back to around $110. All you had to do was nothing. The biggest mistakes I have seen in the share market are when people sell. Sometimes the most powerful thing you can do is absolutely nothing. General Advice Only. Robert Goudie is an Authorised Representative (No. 235974) of Consortium Private Wealth Pty (AFS Licence 495401).

Disclaimer || The information provided in this post is general in nature only and does not constitute personal financial advice. Robert Goudie is an Authorised Representative (No. 235974) of AFSL 495401.