Over the ages, legendary and well-respected investors like Benjamin Franklin, Warren Buffett, Peter Lynch, Dave Ramsey and many others have provided investment quotes that have been as educational as they are timeless.
Though delivered by such monumental figures, many of these concepts are practical and quite simple to understand. For aspiring investors and budding business professionals, investments offer a way to create residual income for a variety of reasons:
One thing for sure: Time may pass, and markets may change, but excellent investment advice stands the test of time. Let's revisit some of the most inspiring quotes from these Wall Street titans on the subject of investing.
Investment Quotes On Education
"An investment in knowledge pays the best interest."
Benjamin Franklin was more than one of our brightest political and social minds; he was also an accomplished businessman who valued practicality. As he mentioned here, educating yourself is paramount to investment success.
Investing—or any financial matter, if we're honest—can be complicated and challenging to navigate. So you'd bode well with the necessary amount of research, market analysis, and scrutiny before you decide to make any investment decision.
"The stock market is filled with individuals who know the price of everything, but the value of nothing."
Philip Fisher was an incredibly successful stock investor with a focus on long-term investing. Here, he provides another nod towards education and market knowledge, which for sure helped him chart his strategies.
Investing for investment sake is a strategy that will set you up for failure. And research includes more than what the pundits on network television say about stocks. If you do not know the value of what you're dedicating your money and resources toward, your success in stocks will be minimal—or a result you end up regretting.
"Invest in yourself. Your career is the engine of your wealth."
Everyone who enters the investment market desires Wealth-building and financial security. But even seasoned investors struggle to achieve those goals. Paul Clitheroe, an accomplished financial advisor, and analyst is known for his television work, said that the answer lies within: A strong career can elevate your skills and innate talents.
This detail is why you should consider to continually improve your knowledge through books, free courses, certificates further education or a job rich in learning opportunity. A core goal in this process is that you should be able to identify your strongest talents. Then leverage them into an income-generating asset as Clitheroe posed, "an engine of wealth."
“The wisest rule in investment is: when others are selling, buy. When others are buying, sell.”
This sage investment advice by Rabbi and philosopher Jonathan Sacks is the wisest investment advice that one could ever follow.
Not only does Sacks quote make sense in the context of investment principles, but it’s also a must-have practice to apply when researching possible options. Find out when others buy or sell stock for your potential investors to chart trends, then develop your strategy before you begin.
“Formal education will make you a living; self-education will make you a fortune.”
The famous Jim Rohn had an illustrious career as an entrepreneur and motivational speaker, and he regularly touted the benefits of self-education. As many of the other quotes on this list espouse, formal education cannot teach you everything you need to know to succeed.
So, as Rohn said, you should pursue knowledge from multiple avenues, all of which you can bring to your investment practice.
Investment Quotes On Strategy
"I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful."
Buffett comes back with another classic quote that is similar to Jim Rohn's quote above but hits on a truth concerning money, risk, and significant payout opportunities:
People get greedy, and it clouds judgment, especially in a soaring market. Beware of those circumstances but, at the same time, know when to invest—and in a big way—when others timid, such as in a down market.
"In investing, what is comfortable is rarely profitable."
It's human nature to avoid what is uncomfortable. But growth doesn't happen in comfort zones. Robert Arnott understood this. You should know when you have to venture into unpredictable territory to accomplish goals or realize gains. But don't just launch into oblivion; know when to step out in small doses to develop the confidence you need for decisive action later.
"The individual investor should act consistently as an investor and not as a speculator."
Benjamin Graham is a famed economist and British investor who touched on an industry truth with his quote, that you cannot predict the future. All successful investment decisions come on the heels of extensive research, facts, and in-depth analysis, not speculation. Guesswork loses money.
"Investing should be more like watching paint dry or watching grass grow. If you want excitement, take $800 and go to Las Vegas."
Paul Samuelson, one of the most influential economists in recent history, believed in the long-game of investing. That is, researching wisely and investing in dependable stocks, bonds, or opportunities. While this may not be the most glamour scheme to make substantial investment returns, it's safer and reliable.
"Wide diversification is only required when investors do not understand what they are doing."
Here, Buffett exclaims that a diverse portfolio should only be attempted when an investor has accumulated experience and enough funds to take riskier bets. Beginners should not try this.
"You get recessions; you have stock market declines. If you don't understand that's going to happen, then you're not ready, you won't do well in the markets."
An investment life cycle is not complete without a recession or decline at some point. Lynch says to expect this, and your resolve should be firm enough to weather the storm. Plus, economies move in a cycle and recover which is why you should be ready for the benefits that come with investing in a down market.
"Never depend on a single income, invest to create a second source."
We could make an entire investment quotes list by Warren Buffett alone! His advice is succinct and simple, and here he does not disappoint. As an investor, you should have multiple streams of income. Your winning option should not be your only option or, as Buffett exclaims in another timeless quote, “Don’t put all your eggs in one basket.”
"Everyone wants a piece of land. It's the only sure investment; it can never depreciate like a car or a washing machine."
Russell Sage rose to prominence at a time when the Industrial Revolution accelerated innovation across industries. Sage saw value in transcontinental railroads and invested heavily in what he thought was a monumental shift in transportation.
He was right. Investors of that time often purchased land near railroad junctions or stations, knowing that the heavy traffic of travelers represented constant streams of money in the area.
“How many millionaires do you know who have become wealthy by investing in savings accounts? I rest my case.”
A savings account won’t make you rich. It’s that simple, and Robert Allen’s timeless quote is novel, but he was not the first to come to this conclusion. Savings accounts are great for emergency funds but should not be the sole source of how you accumulate wealth.
“If you do not know how to care for money, money will stay away from you.”
Robert T. Kiyosaki
Robert T. Kiyosaki, the author of the wildly popular "Rich Dad, Poor Dad," offers up the advice of proper money maintenance. If you get rich in your 20s or 30s and are broke by the time you are entering your 40s, then you have not maintained your money very well.
The truth of investing is that it can be easy to come into money if you make the right moves; however, it can be difficult to maintain that money. This truth leads us to the next quote on our list, which connects to Kiyosaki:
“Investing puts money to work. The only reason to save money is to invest it.”
We all want savings and security, sure. But if that money is merely sitting in an account, not moving, then it is subject to all the fees and stipulations that a bank can place upon those funds. So instead, put your money to work with an investment. You could make a small profit and gains instead of allowing your money to stagnate.
The Bottom Line: Educate Yourself, Research, And Invest Wisely
Investing is not easy, but it can be learned and applied like anything else. With thorough research and a strategy, you can pursue long-term success. Allow these investment quotes to motivate your journey and bookend your pursuit of knowledge in yourself, opportunities, and future.
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