investment philosophy.

experiences led him to pioneer the investment approach known

of safety, or protection against downside risk.

 a decade.

Similarly, Home Depot, which pioneered the superstore home

improvement concept and is one of the largest retailers in the

open more stores and develop its concept. Today, Home

Depot operates thousands of stores around the world,

strategy that matches their skill set and personality type.

They work extremely hard and usually love what they do.

Nearly all of them continue to work well after the point at

their mistakes.

cost index funds and try to make money passively.

sense for a lot of people.

th
century.

5
 early form of technical analysis.

simply one share.

history, and may pay a dividend.

Some companies generate more money than they can

one way to use this excess cash.

others who live off the income.

or less.

6
 Risk refers to the volatility of returns in your investment
portfolio, a statistical measure known as standard deviation.

mortgages, student loans, and car loans.

Most great investors tend to own concentrated portfolios of

maximize returns.

Successful quantitative investors run dozens, if not hundreds,

or quants, who are the card counters of investing. They make

over time.

key part of their investment strategy.

7
 investment opportunities.

that generated their wealth, such as hard work, persistence, and

Many of the great investors featured in this course have

character or achieve lasting happiness.

 Financial freedom means different things to different people, and

most likely help you in that regard and may also give you a greater

world around us.

the economy.

Bodie, Kane, and Marcus, Investments.

Hagstrom, The Warren Buffett Way.

1. Do you think investment success is mostly art or science?

2.
over time?
 B and he pioneered a rigorous, quantitative approach to

and people with inside information. Using inside information was

roots in his own personal hardship.

Finance charts, the ticker tape listed that information, which was all
that many investors had with which to make an investment decision.

Back then many investors viewed stock as little more than a

for securities analysis was in viewing stock as the ownership of

10