By Investment Master Class. Originally published at ValueWalk.
“The only man who never makes mistakes is the man who never does anything.” Theodore Roosevelt
“I have a criterion that I can use to identify my mistakes; the behaviour of the market” George Soros
“We all know when we are wrong. The market will tell the speculator when he is wrong, because he is losing money. When he first realises he is wrong is the time to clear out, take his losses, try to keep smiling, study the record to determine the cause of his error, and await the next big opportunity. It is the net result over a period of time in which he is interested” Jessie Livermore
“With the good men, you can see the learning juices churning around every mistake. You learn from mistakes. When I look back, my life seems to be an endless chain of mistakes” Adam Smith, The Money Game
“A man who has committed a mistake and doesn’t correct it, is committing another mistake” Confucius
“In business or out of it, there’s nothing unusual or shameful about making a mistake – once. But… to stumble twice against the same stone is a proverbial disgrace.” J Paul Getty
“Everyone makes mistakes” Warren Buffett
“I am a professional mistake maker. One third of my trades are probably wrong” Ray Dalio
“The only way to avoid mistakes is not to invest — which is the biggest mistake of all” John Templeton
“You never get totally over making silly mistakes” Charlie Munger
“While we will inevitably make some mistakes, we are determined to learn from each one” Seth Klarman
“Our Vice Chairman, Charlie Munger, has always emphasized the study of mistakes rather than successes, both in business and other aspects of life.” Warren Buffett
“It is mistakes that are more noteworthy. Each brought its own new lesson” Phil Fisher
“By properly handling the earnings shortfalls, unexpected competitive developments, or adverse market performance, you will enhance your reputation. Avoiding or denying your mistakes is a sign of weakness in your character” Leon Cooperman
“To others, being wrong is a source of shame; to me, recognizing my mistakes is a source of pride. Once we realize that imperfect understanding is the human condition there is no shame in being wrong, only in failing to correct our mistakes” George Soros
“In investing it is never wrong to change your mind. It is only wrong to change your mind and do nothing about it” Seth Klarman
“There’s an old saying in the investment game: “It’s okay to be wrong: it’s not okay to stay wrong” Scott Fearon
“Quickly identify mistakes and take action.” Charlie Munger
“Recognize a mistake early, and take immediate action” Roy Neuberger
“If you make a mistake, sell as fast as you can” Li Lu
“If you have made a mistake, deal with the mistake, don’t compound it” Michael Steinhardt
“I learned that there is an incredible beauty to mistakes, because embedded in each mistake is a puzzle, and a gem that I could get if I solved it, i.e a principle that I could use to reduce my mistakes in the future” Ray Dalio
“There is a very good investor I speak to frequently who said “All I bring to the party is twenty-eight years of mistakes”. I really believe he is right.” Michael Steinhardt
“It is really useful to be reminded of your errors. I think we’re [Warren Buffett and I] pretty good at that. We do kind of mentally rub our own noses in our own mistakes. And that is a very good mental habit.” Charlie Munger
“I don’t think anybody can do this for a career without having made some important mistakes. You can’t win all the time” Michael Steinhardt
“When something goes wrong, I like to think about the bad decisions and learn from them so that hopefully I don’t repeat the same mistake” David Einhorn
“Part of what you must learn is how to handle mistakes and new facts that change the odds. Life, in part, is like a poker game, wherein you have to learn to quit sometimes when holding a much–loved hand.” Charlie Munger
“No investment philosophy, unless it is just a carbon copy of someone else’s approach, develops in its complete form in any one day or year. In my own case, it grew over a considerable period of time, partly as a result of what perhaps may be called logical reasoning, and partly from observing the successes and failure of others, but much of it through the more painful method of learning from my own mistakes” Phil Fisher
“While most others seem to believe that mistakes are bad things, I believe mistakes are good things because I believe that most learning comes via making mistakes and reflecting on them” Ray Dalio
“I want to be able to explain my mistakes. This means I do only things I completely understand” Warren Buffett
“I have long since learned, as all should learn, not to make excuses when wrong. Just admit it and try to profit from it” Jessie Livermore
“I’m only rich because I know when I’m wrong” George Soros
“.. one other thing that is absolutely critical: You have to be willing to make mistakes regularly: there is nothing wrong with it” Bruce Kovner
“There’s no way that you can live an adequate life without many mistakes. In fact, one trick in life is to get so you can handle mistakes. Failure to handle psychological denial is a common way for people to go broke.” Charlie Munger
“Great investors become great by objectively examining their mistakes and weaknesses and consciously reflecting on them” Christopher Pavese
“Even the best of speculators must be prepared to be wrong in a certain percentage of his operations. In such cases he must be able to strike his tent on the instant and conduct a swift, skillful, and silent retreat” Bernard Baruch
“.. you have got to make decisions even though you know you may be wrong. You can’t avoid being wrong, but by being aware of the uncertainties, you’re more likely to correct your mistakes than the traditional investor” George Soros
“Replaying losses in your head is the only way you learn from your mistakes.” David Tepper
“We are going to make mistakes” Bill Ackman
“We do post-mortems on all of our positions -as well as regular position reviews of what we own – to constantly assess what we got right and what we didn’t. That matters because we want to learn from mistakes even if the investment outcome turned out fine because we were lucky. Luck is not a sustainable way to make money as an investor. Avoiding mistakes that you’ve made before is” Shawn Kravetz
“It is not a crime to make a mistake in the investment business, but you have to recognize your mistakes early and take decisive action to reverse the decision” Pierre Lagrange
“We learn by trial and error, not by trial and rightness” Joe Ross
“We work hard to create an environment where mistakes aren’t swept under the rug but are surfaced and examined right away. Part of working as a team is trying to help each other, not tear each other down when things go wrong. Address the issue, learn from it and move on” John Fox
“This is a
The post INVESTING MISTAKES appeared first on ValueWalk.
Sign up for ValueWalk’s free newsletter here.
