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12 Timeless Investment Rules

This is an interesting article..... enjoy. 
1. An attempt at making a quick buck often leads to losing much of that buck.
  • The people who suffer the worst losses are those who over-reach.
  • If the investment sounds too good to be true, it is.
  • The best hot tip I've found is "there is no such thing as a hot tip."
2. Don't let a small loss become large.
  • Don't keep losing money just to "prove you are right."
  • Never throw good money after bad (don't buy more of a loser).
  • When all you're left with is hope, get out.
3. Cut your losers; let your winners ride.
  • Avoid limited-upside, unlimited-downside investments.
  • Don't fall in love with your investment; it won't fall in love with you.
4. A rising tide raises all ships, and vice versa. So assess the tide, not the ships.
  • Fighting the prevailing "trend" is generally a recipe for disaster.
  • Stocks will fall more than you think and rise higher than you can imagine.
  • In the short run, values don't matter.
You can download the rest of the rules here. Happy investing.

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