Post #1039 by mungofitch on the Macroeconomic Trends and Risks board

To reference images from other websites within your posts, simply right-click (desktop), or hold your finger over (mobile devices), the image and select to copy the link. You can then copy-paste this link within your post. When viewing the post, it will be automatically hyperlinked directly to the image.

- Manlobbi

Personal Finance Topics / Macroeconomic Trends and Risks

Unthreaded | Threaded | Whole Thread (8)

Prev | Next

Post New | Post Reply | Report Post | Recommend It!

No. of Recommendations: 7

I confess, real estate seems to be the only asset I understand these days, with the stock market being too bipolar for my limited skills to handle the seeming lack of reason.

As it happens, that's almost a paraphrasing of Mr Buffett's answer to why he invests in equities and almost never real estate. He noted that mispricing is the norm in equities, and very rare in real estate, so you can get a really good deal pretty often with shares. The downside is that you have to have the personality for it: getting greedy when the mood is panic, and assigning no meaning at all to price fluctuations other than as something to take advantage of.

If some guy sells a nice BMW to somebody else for $50, does that make my BMW almost worthless? If not, why should I worry any more if it's a conversation about (say) Alphabet shares rather than BMWs?

Jim

Post New | Post Reply | Report Post | Recommend It!

Print the post

Unthreaded | Threaded | Whole Thread (8)

Prev | Next

Announcements

Macroeconomic Trends and Risks FAQ

Contact Shrewd'm
Contact the developer of these message boards.

A community forum supporting civilized, and highly helpful, self-educating investors that come together for Shrewdness and merry spirits. These message boards closely follow the look and feel of the old message boards at boards.fool.com prior to the boards redirected to discussion.fool.com. Shrewd'm is not affiliated with the comprehensive and excellent investment website, The Motley Fool (TMF), in any way. The Shrewd commmunity here has owed, and continues to owe, gratitude to The Motley Fool for nurturing a culture of jovial irreverence towards Wall St, and that tradition will continue here.