O'Reilly logo

Financial Times Guide to Investment Trusts by John C Baron

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

8

Other investment secrets

Having covered the basics when it comes to successful investing, this chapter will highlight some other pointers that you may find helpful when constructing and/or monitoring a portfolio, whether run by your manager or yourself. I start with what I consider to be the most important.

Sentiment versus fundamentals

If I had to sum up in one sentence the secret of successful investing, I would suggest ‘to know when sentiment and fundamentals part company, and then to have the courage to act’. When market sentiment runs too far ahead relative to the asset’s fundamentals – in other words, investors are pushing the price up beyond its worth – then the time has come to sell. Conversely, when sentiment trails fundamentals ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required