First of all, a brief answer: these four are all investment masters, but I personally think that Livermore, like Liam Gunn, another Wall Street master, belongs to a special era in the American market. At that time, market supervision was very lax, and retail investors occupied an absolute advantage. Therefore, short-term operation and theme speculation were the norm of that era, and Livermore finally went bankrupt and committed suicide. Buffett, especially Soros, cannot be learned by retail investors. Therefore, relatively speaking, I admire Peter Lynch the most. Then, by answering this question (and the last two questions), I will introduce Peter Lynch by borrowing some contents from Top Wisdom of Investment Masters 5: Peter Lynch-Investing Like a Normal Person.
Peter Lynch is regarded as the greatest fund manager in American history. From 1977 to 1990, it lasted for 14 years and achieved an average annual yield of 29%, which greatly defeated Wall Street. More legendary, at the peak of his career, that is, 1990, he retired from the torrent, with a chivalrous demeanor of "doing things, hiding success" (in fact, retiring from Wall Street is the most difficult thing ...)
Peter Lynch has written many books, and there are many explanations about his investment performance and strategy in the market. So what I want to share with you today is the core principle of his investment wisdom-investing like a normal person.
Around this logic, his investment theory can be summarized and summarized by crayon theory, limited dispersion and reverse stock selection. Let's look at it one by one.
First, the crayon theory.
First of all, the crayon theory is actually called the simple principle, in other words.
We humans all have a tendency to pursue complexity, obsessed with those complex concepts and frameworks, but often forget the truth that "only simplicity is correct".
In investing, we have learned all kinds of knowledge, but often we have heard a lot of truth, but we still have a hard time. Why? Because investment, like being a man, requires you to be yourself in many underlying logics.
As the best institutional investor in American history, Peter Lynch always thought: I just did the same thing as retail investors, so anyone should be able to do it.
Peter Lynch has a principle called "Don't invest in any company whose business can't be clearly described with crayons"-this is his crayon theory.
One thing he often does is to go shopping with his daughter. After entering the mall, if his daughter stays in front of a store or a product for a long time, it will attract his attention.
Once shopping with his daughter, he found a cosmetics shop called "Body Shop". He thinks the smell is really strange and unpleasant, but his two daughters are "lingering".
After returning home, he began to check the information of this company. It is found that this cosmetic brand claims to be made of fruits and vegetables, which originated from the backyard of an English housewife. In just a few years, this brand has captured the hearts of British and American girls to old ladies in their fifties and sixties. Its products have several simple keywords: natural, organic, colorful and lovely.
After seeing this, Peter Lynch decided to start stock trading. In the following years, with the popularity of the body shop in the world, this investment has achieved a lot of income.
Peter Lynch himself said a real example. 1990, he learned that a group of seventh-grade primary school students in the United States made a simulated investment portfolio and achieved amazing results, which was more than 1 times higher than the S&P index of that year. Then he visited the school and found that the pupils were learning to read some financial reports and make a simple analysis under the guidance of the teacher. And their basic principle is: we like it and find it very useful.
According to this principle, guess which stocks are in these children's stock pool? Will reply "How does Peter Lynch choose stocks? Then tell me.
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Do you have any better ideas on this issue? Welcome to leave a message below to discuss!
Buffett is powerful, others are afraid of my greed, and others are greedy. I am afraid of his investment ideas, good reputation and rich wealth, and he is one of the most successful investment masters.
They are all tied together, and they are no match for Buffett!
Soros is awesome!
None of these people in A shares are as famous as those in A shares! If they are under the same conditions as A-shares and hot money, and like nameless leeks, they will never be used by institutions to fool retail investors!
Is a hunter with a lot of money,
I think you are the best. Obviously, you have studied the skills and experience of these four people, and then, don't you feel confused?
They are all very powerful, each with its own advantages. As long as they can make money in the capital market, people who earn a lot of money are worth learning.
Comparatively speaking, I admire the value investment of Buffett and Peter Lynch, especially Buffett. Buffett's natural interests in life are business and investment, and he is willing to do what he is interested in every day. Enjoy the process of making money, live a simple and ordinary life, not extravagant and flashy, have a peaceful mind, and live a long and healthy life.
Buffett, live full, meaningful and valuable.
Of course, Livermore is a pioneer. He made a comeback on his own after several bankruptcies. Everything else is teamwork, which is influenced by Livermore to some extent.