July 31, 2005

Warren Buffet

There are two rules for investing:

Rule Number 1: Never lose money.
Rule Number 2: Never forget Rule Number 1.

On diversification:

"A lot of great fortunes in the world have been made by owning a single wonderful business."

Diversification is a protection against ignorance. [It] makes very little sense for those who know what they are doing."

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