"Most of the time common stocks are subject to irrational and excessive price fluctuations in both directions as the consequence of the ingrained tendency of most people to speculate or gamble... to give way to hope, fear and greed."
"Intelligent investment is more a matter of mental approach than it is of technique. A sound mental approach toward stock fluctuations is the touchstone of all successful investment under present-day conditions."
8 likes
Source: The Intelligent Investor: The Classic Text on Value Investing. Chapter II, The Investor and Stock-Market Fluctuations, p. 21, 1949.
About the author
Same author
More quotes by Benjamin Graham
"Investing isn't about beating others at their game. It's about controlling yourself at your own game."
"Successful investing is about managing risk, not avoiding it."
"The intelligent investor is a realist who sells to optimists and buys from pessimists."
"In the short run, the market is a voting machine, but in the long run it is a weighing machine."
"In the world of securities, courage becomes the supreme virtue after adequate knowledge and a tested judgment are at hand."