I just read a great interview with Doug Kass of Seabreeze Partners. The interview is on Benzinga.com. I thought the following quote was the most relevant as it completely agrees with my basic investing philosophy as well as the philosophy of my upcoming book.
Q: What is one paradigm that aspiring traders or investors must adhere to or understand in order to find success?
A: There are five basic tenets to investing success that I would give to any trader or investor:
- Stop your losses and let your profits run.
- Don’t use leverage.
- Be diversified.
- Always remember that it is better to lose opportunity than lose capital.
- Don’t forget #1!
You can read the entire interview here.