"The individual investor should act consistently as an investor and not as a speculator. This means ... that he should be able to justify every purchase he makes and each price he pays by impersonal, objective reasoning that satisfies him that he is getting more than his money's worth for his purchase."
-- Benjamin Graham
-- Benjamin Graham
One way to interpret this is to take advantage of the market when it wants to sell $1 worth of value at $0.50. Within our portfolio, we look at this quote a little differently. We want to invest $1 worth of capital in companies that can ultimately deliver $5 or $10 worth of value over the years.
