2026-01-10 08:25:20

An investment master's set of theories has been circulating in the market for a long time and still shines brightly today. His core ideas about stock selection are worth every trader repeatedly digesting.

**First Point: Don't treat stocks as chips to play with**

Holding stocks should be like investing in a real business. You need to imagine yourself as a minor shareholder of the company, focusing on its actual operations and profitability, rather than constantly watching the price fluctuations. Once your mindset shifts, your entire investment approach becomes much clearer.

**Second Keyword: Moat**

Businesses are not ranked as high or low, but good businesses must have unique advantages. This advantage is called a "moat"—a sustainable competitive edge that allows continuous profit extraction from the market. What is the highest level of moat? Pricing power. When a product's price increases and consumers still buy happily, that's a truly good business.

**Third Iron Law: Control your emotions, don't be led by the market**

The market is like an emotional rollercoaster. Stay calm during sharp declines (perhaps that's the opportunity to bottom fish), and be even more cautious during fierce rallies (bubbles often inflate in madness). Remember this: never gamble with borrowed money; safety margins are your protective talisman. Only buy at prices so cheap they are almost broken.

**Fourth Detail: The character of management is the most critical**

The leader of a company is more important than the financial report figures. To judge whether a leadership team is reliable, ask yourself: are you willing to entrust them with important life decisions? This standard is simple and crude, but often the most effective.

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LightningHarvester

· 3h ago

The concept of a moat is really top-notch; seeing through many scams that cut leeks Pricing power is the key, everything else is虚的 Whether it's good or not depends on management; a trash CEO makes even the best financial reports useless Controlling emotions is what I respect most, but unfortunately most people can't do it So cheap it's broken? I wonder if there are stocks like that now, haha Those who are glued to the screen all day should really read this article Are you guys ready to take over if you borrowed money to trade stocks? That last sentence really hit home; if you don't believe in a person, you won't believe in the company either Companies without a moat, I really dare not touch

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FromMinerToFarmer

· 01-10 15:57

Well said. It's this pricing power that is the real game-changer; whoever controls the hearts of consumers controls the destiny.

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GateUser-a180694b

· 01-10 08:55

Speaking of moat pricing power, I think of certain companies whose users remain loyal even when they raise prices—that's real skill. But to be honest, knowing these theories is of little use; the key is to resist frequent trading. Management integrity is indeed crucial, but how to judge that? It still seems most reliable to look at financial reports. The seemingly simple principle is actually rarely practiced; most are driven by greed. I agree with the concept of safety margin; otherwise, getting cut by the market is just deserved.

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FlashLoanKing

· 01-10 08:55

The concept of a moat makes sense, but when it comes to actual combat, it's a different story. Most people simply can't tell which businesses truly have a moat. Honestly, it's still about your own understanding; don't be brainwashed by these theories. Sure enough, it's the same old story—rises and falls are all trivial. Management character? Ha, financial report figures can be faked, trusting management is even more absurd. Investing without borrowing money sounds great, but what if you miss the market? That's the real loss. Stock picking is gambling; no matter how many theories there are, they can't change this fact. I've heard this stuff ten years ago, why is it still being repeated? What’s the use of a moat? Carbonated drinks have been around for decades, yet new products still leave them clueless. Controlling emotions is simple, but when it comes to execution, everyone collapses—stop the nonsense. The key isn't in the theory, but whether you can survive and make money.

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SchrodingerPrivateKey

· 01-10 08:54

The concept of a moat sounds good, but how many companies truly have one? Most are just being wiped out. That's right, emotional control is the real threshold for making money, but unfortunately, no one can do it. I respect the importance of management character, but many domestic bosses simply can't withstand the test. Only buy when the price is so low it's about to break? I keep waiting, waiting until the company is gone, haha. Borrowed money to gamble is the easiest way to go bankrupt; it's a painful lesson, but some still go all in. Don't treat stocks as chips? Bro, you're too optimistic. 99% of people are just here for a gamble. Pricing power is the peak of the moat. That's not wrong, but how many can actually find it?

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LiquidatedNotStirred

· 01-10 08:48

Good words, but most people still can't change their habit of chasing gains and selling at losses. I've listened to the theory of moats ten times and still can't find it. Am I blind? Management integrity? Ha, one financial fraud and it's all over. Borrowed money to gamble is common around here; losing everything is just normal. Playing stocks as chips is exciting; holding long-term is so boring. Pricing power sounds simple, but in reality, there are very few opportunities to find it. Staying calm during a crash? I stayed calm, but it just kept falling endlessly. Everyone understands these big principles, but just can't execute them. So the question is, how to judge which management team is truly reliable? Financial reports can also deceive. Margin of safety is a good concept, but truly cheap and excellent businesses are not that many. In the end, the moat has been dismantled by the internet. The times have changed, everyone.

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LucidSleepwalker

· 01-10 08:45

The concept of the moat has been around for ten years, but the market still has so many people getting chopped up and losing money, which shows that knowing and doing are two different things. It's easy to say, but when something is truly cheap to the point of fracture, who dares to buy the dip? It's driven by fear. I agree that management character is important, but how to judge? The guys who fake financial reports may appear one way on the surface but are different behind the scenes. How can you see through that? Not all companies have pricing power; most are still being beaten down by competition like vegetable prices. Are these theories correct? Yes. But 99% of people will still lose money the next day after hearing them. The core issue is not the methodology.

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APY_Chaser

· 01-10 08:36

The old clichés about moats are well-worn, but the reality is that most people start to go all-in without even understanding the company's financial reports. The ones who truly make money are always those who can restrain themselves from chasing highs. Speaking of pricing power, Tesla's performance in recent years has indeed been a bit disappointing. Borrowing money to trade stocks is just ridiculous; I have too many vivid examples around me. But the problem is, recognizing people is even harder than recognizing stocks. Controlling emotions sounds easy, but when a sharp decline actually happens, who isn't panicked? The concept of a moat really needs to be studied carefully, but how many are truly moat-worthy? There are so many people who watch the price fluctuations every day, and this bad habit is hard to change. The theory of margin of safety is indeed reliable, but execution is extremely difficult. The character of management is crucial; if the leadership commits financial fraud in a quarter, it’s game over. Buying at a discount sounds simple, but just wait—another bull market will come.

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