Words of Wisdom
Helping Canadians Build a Healthier Financial Future™
“Money makes money.” - Ben Franklin
"The best chance to deploy capital is when things are going down." – Warren Buffet
“Rule 1: Never lose money. Rule 2: Never forget rule No. 1.” - Warren Buffett
“Compound interest is the greatest mathematical discovery of all time.” - Albert Einsten
"If you aren't willing to own a stock for ten years, don't even think about owning it for ten minutes." – Warren Buffet
“Approximately 97% of fund managers haven’t demonstrated enough skill even to cover the expenses they charge…making low-cost index funds, which don’t even try to beat the market, the best bet.” - Professor Eugene F. Fama, Nobel Prize in Economic Sciences, 2013
"It's been an ideal period for investors: A climate of fear is their best friend. Those who invest only when commentators are upbeat end up paying a heavy price for meaningless reassurance."
Warren Buffet wrote this in 2009 in regards to the financial crisis. In the wake of the crisis, Berkshire Hathaway made some savvy investments, which Buffett wouldn't have done if he had been focused on what market commentators were saying.
“The most important word in the world of money is cash flow. The second most important word is leverage.” - Robert Kiyosaki, Rich Dad, Poor Dad
On index investing in a low cost fund that tracks an index, Warren Buffet said “I think it's the thing that makes the most sense practically all ofthe time."
“Compound interest is the eighth wonder of the world. He who understands it, earns it … he who doesn’t … pays it.” - Albert Einstein
“We always overestimate the change that will occur in the next two years and underestimate the change that will occur in the next ten. Don’t let yourself be lulled into inaction.” - Bill Gates
“Never doubt that a small group of thoughtful, committed, citizens can change the world.” - Margaret Mead
"Widespread fear is your friend as an investor because it serves up bargain purchases." – Warren Buffet
"We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful." – Warren Buffet
"In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a flu epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497." - Warren Buffet