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An Important Investing Lesson From Benjamin Graham

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benjamin graham

I was recently going over some of Benjamin Graham’s old lectures at Columbia University when I came upon one gem of wisdom that I wanted to share with you. In my paraphrase, Graham said this: Achieving satisfactory results with stock market investing is much easier than people think. Beating the S&P 500 on a reliable basis is much harder than people think.

The funny thing about investing is that we will never know how we did because it is a lifelong pursuit. Sure, if you have been investing for twenty years you can get an idea of how you have performed in relation to the S&P 500 index overall, but that tells you little about how you will be doing going forward. After all, if you have beaten the S&P 500 for the past twenty years, there is no guarantee that you will continue to do so over the next … Read the rest of this article!

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