Quotes

The psychological mood of people changes more drastically than anything else in finance. Human nature changes least of all.

To some degree, it is the consequence of the very instability of investors' thinking -- the very variation in investor confidence -- which leads them to view the picture through rosy glasses one year and through dark glasses the next year.

The market cycle of the future may prove to be surprisingly independent of the business cycle, and it may even exist if there is no business cycle -- which is in itself quite an assumption, but not an entire impossibility.

If a common stock is a good investment it is also a good speculation.

Warren and I are chicken about buying stocks on margin. There's always a slight chance of catastrophe when you own securities pledged to others. The ideal is to borrow in a way no temporary thing can disturb you.

If you totally divorce economics from psychology, you've gone a long way toward divorcing it from reality.

Understanding both the power of compound return and the difficulty getting it is the heart and soul of understanding a lot of things.

Beating the market averages, after paying substantial costs and fees, is an against-the-odds game; yet a few people can do it, particularly those who view it as a game full of craziness with an occasional mispriced something or other.

Perhaps the most important rule in management is "Get the incentives right."

The whole trick in life is to get so that your own brain doesn't mislead you.

If you’re going to be in this game for the long pull, which is the way to do it, you better be able to handle a 50% decline without fussing too much about it.

If you're capable of being reasonable, it's a moral failure to be unreasonable when you have a capacity to be reasonable.