12 things I learned from David
Tepper: #5
5. “This company looks cheap,
that company looks cheap, but the overall economy could completely screw it up.
The key is to wait. Sometimes the hardest thing to do is to do nothing.”
People
have a tendency to believe there is a prize for hyperactivity. Not only is
there not a prize but hyperactivity instead imposes significant penalties.
Warren Buffett likes to say there are no “called strikes” in investing. For
this reason, sometimes sitting on your hands can be the very best thing you can
do as an investor. Patience is key. But so is aggression when the time is
right, as was the case, for example, in 2009. The combination of being patient
and yet sometimes aggressive seems odd for many people, but it is the right
approach. When bargains do appear it is not only a rare event, but a fleeting
event. If you snooze when a bargain appears, you lose. Fortune favors the
person who is patient, brave, aggressive and swift to act when the time is
right. Times like March of 2009 appear rarely in a lifetime for an investor.
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