One Up On Wall Street

Peter Lynch & John Rothchild


In Circulation

Penned by the famous mutual-fund manager, Peter Lynch, this book elaborates the many advantages that an average investor has over professionals and how they can help them reach financial triumph. How To Use What You Already Know To Make Money in The Market explains how your knowledge alone can assist you beat the pros of investing. From the viewpoint of America's most triumphant money manager, investment chances are extensively accessible. Whether supermarket or work place, you can find goods and services everywhere. You have to select these organizations in which to invest, before they are found by skilled analysts. You will find more interesting knowledge on investment. Thus the book has become one of the best seller and treasure among readers. Moreover, this book provides time less recommendation on money business. This book has discussed the tips, ebb and flows on building it big in the investment market.

What will you learn from this book

  1. Invest in What You Know: Lynch popularized the idea of investing in companies whose products or services you understand and use. He believed that individual investors have an edge by noticing promising opportunities in their everyday lives.

  2. Long-Term Perspective: Lynch advocates for a long-term investment approach, focusing on the growth potential of companies rather than short-term fluctuations.

  3. Avoid Market Timing: Trying to time the market or predict short-term fluctuations is difficult and often leads to suboptimal results. Instead, focus on the fundamentals of the companies you invest in.

  4. Do Your Own Research: While it's helpful to listen to others' advice, conducting your own research is crucial. Lynch encourages investors to delve into company financials, industry trends, and management quality.

  5. Understand the Company's Story: Lynch emphasizes the importance of understanding the narrative behind a company - its competitive advantage, growth prospects, and potential risks.

  6. Beware of Overlooking Small Companies: Small, less-known companies sometimes present the best investment opportunities. They might have more room for growth compared to larger, well-established companies.

  7. Be Wary of Extrapolating Current Trends: Just because a company or industry is doing well now doesn't guarantee future success. Always consider whether the company's success is sustainable.

  8. Patience is Key: Successful investing often requires patience. Stocks can take time to reflect the true value of a company, and giving investments time to mature is important.

  9. Don't Panic Sell: Lynch advises against making hasty decisions based on short-term market movements or temporary setbacks. Stay focused on the long-term prospects of the companies in your portfolio.

  10. Diversification and Portfolio Monitoring: While focusing on what you know is important, diversification across different sectors or industries can help manage risk. Regularly monitoring your portfolio's performance is also crucial to ensure it aligns with your investment goals.

Language English
ISBN-10 0-7432-0040-3
No of pages 304
Font Size Medium
Book Publisher Simon & Schuster
Published Date 03 Apr 2000

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