Economics and Politics is a Waste of Time

3개월 전

Follow These Billionaire Investors to Make More Money in the Market


The most important factors in investing is understanding what makes a company great and buying great companies at reasonable prices. Everything else is noise to distract you from your quest.

Many investors fret over how daily politics or economic statistics will change the investing landscape. But the fact of the matter is Gross domestic product (GDP) growth and stock market returns have just about nothing to do with one another. The wisest investors have proven that you can have fantastic investment results without thinking about macro factors again.

Study the history of two legendary investors and you will understand how to become a better investor. Business partners and billionaire investors Warren Buffett and Charlie Munger have been investing for more than 50 years. They claim time and again that they never had a single conversation about the economy. All their focus in on studying great businesses like how Walmart (WMT) and McDonald's (MCD) thrive in recessions as consumers pinch pennies. Companies will long lasting strong brands and advertising like Procter & Gamble (PG) out last competitors in great economies and poor ones. Great businesses aren't cyclical, can stay profitable, continue to earn more free cash flow and pay higher dividends every year.

Spend less time on macro and focus on what really drives long term investment success. In short, owning businesses that profit in any market cycle is one way to grow long-term wealth. Put Dan's advice to work today.

Disclosure: I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article. The information provided should NOT be considered advice. The topics discussed are risky and have the potential to lose a substantial amount. I am not an investment professional and therefore do not offer individual financial advice. Please do your own research before investing.

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