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Strategies & Market Trends : Graham and Doddsville -- Value Investing In The New Era

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To: porcupine --''''> who wrote (2)2/28/1998 2:39:00 AM
From: Berney   of 1722
 
Berney's Seven Principles of Investing

Let me commence my participation on this new thread by stating my principles of investing. Having prepared tax returns for almost a quarter of a century, I have constantly been appalled at the investment garbage that people let themselves be talked into acquiring. So I set about learning and it has been an interesting education.

Three years ago, I drafted the Seven Principles of Investing. I have not changed a word since the first draft. They are:

1. The investment must enhance a diversified portfolio;
2. It must be favorably rated by an independent rating authority;
3. It must have a solid historical foundation;
4. It must have reasonable prospects for the future;
5. It must have a financial position to allow its prospects to come true;
6. It must be able to be acquired at a reasonable cost; and
7. There must be a clear exit strategy.

All my future posts will build from these principles. I look forward to the exchange of information for the betterment of all.

Berney
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