Warren Buffet is known for his frugality. Frugality isn't about buying anything at a low price - it is about buying value at a low price.
The key is not just to look at the price, but to keep value in mind, too.
1.03K
3.96K reads
CURATED FROM
IDEAS CURATED BY
Creator. Beer ninja. Travel lover. Twitter evangelist. Lifelong writer. Zombie expert.
The idea is part of this collection:
Learn more about moneyandinvestments with this collection
How to create a diversified portfolio
How to analyze stocks and bonds
Understanding the basics of investing
Related collections
Similar ideas to Price and Value are Not the Same Thing
You lose money when the price you pay does not match the value you're getting. For example, when you're paying high interest on credit card debt or spending on stuff you hardly use.
...Popularized by investors Benjamin Graham & Warren Buffett, value investing is about buying something for less than it is worth. It's based on this idea that you can find undervalued companies (companies with low P/E - price per earnings). It's hard to do it these days:
Read & Learn
20x Faster
without
deepstash
with
deepstash
with
deepstash
Personalized microlearning
β
100+ Learning Journeys
β
Access to 200,000+ ideas
β
Access to the mobile app
β
Unlimited idea saving
β
β
Unlimited history
β
β
Unlimited listening to ideas
β
β
Downloading & offline access
β
β
Supercharge your mind with one idea per day
Enter your email and spend 1 minute every day to learn something new.
I agree to receive email updates