Rules of Investment Number Four

Basic rule number four is, it is the investor itself is really the asset or the liability.

The investor is the asset or liability not the investment or security. I often hear that people say, ‘Investing is risky‘ it’s the investor who is risky. It is ultimately the investor who is the asset or the liability. I have seen many so-called in­vestors lose money when everyone else is making money. I have sold businesses to many so-called business people and watch the businesses soon go bust. I have seen people take a perfectly good piece of real estate, real estate that is making a lot of money, and in a few years, that same piece of real estate is running at a loss and falling apart. And then I hear people say, investing is risky. It’s the investor who is risky, not the in­vestment. In fact, a good investor loves to follow behind a risky investor because that is where the real investment bargains are found.

Listen to investors who are cry­ing the blues about their investment losses so that you will find out what they did wrong and see if you can find a bargain.