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Value investing strategies are not for those investors looking to move quickly in and out of stocks

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on a daily or even an annual basis.

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Warren Buffett once said the stock market is a device for transferring money from the patient to the

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patient.

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When you invest in value companies you must invest for the long term and think in terms of years or

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at least months not days or weeks.

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In fact Buffett believes that all short term price movements in the stock market should be disregarded

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by value investors beyond using them as an indication of the best times to potentially pick up some

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new holdings.

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You should keep in mind that long term investments are normally those that have lower risks rather than

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watching daily stock prices.

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You should spend that time keeping your eye on the operational performance of the companies in your

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portfolio and rather than allowing market volatility to lead you into a hasty and emotional investment

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decisions.

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You should continue to base your opinions of a company's value on facts.

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You know sometimes it can take a company a long time to see its share price rise to match its intrinsic

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value.

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If you have the time and if you won't need the money for many years you have a huge advantage over investors

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with the opposite circumstances.

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You can buy perhaps at a discount when they need to sell.

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Good companies can traded valuations that seem very low for years.

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This can happen when investors attention is focused elsewhere on hot tech stocks for example or when

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a sector is out of favor.

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Even if it takes several years to happen the general principle holds.

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The market is usually efficient over the long run and eventually a stock's price will reflect the company's

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true value.

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If you've bought the stock at a discount you'll make money or a lot of money if you sell it once its

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price rises to something closer to its intrinsic value.

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Having the patience to wait until that happens is one key to success as a value investor.

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So that's Principle Number Six.

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Make sure you have a long term investment strategy in mind and patience is key to your investment success.