White Papers | 08 March 2011

The Seven Immutable Laws of Investing

Executive Summary

In this paper, James Montier presents a set of principles that together form what he calls “The Seven Immutable Laws of Investing.” They are as follows:

  1. Always insist on a margin of safety
  2. This time is never different
  3. Be patient and wait for the fat pitch
  4. Be contrarian
  5. Risk is the permanent loss of capital, never a number
  6. Be leery of leverage
  7. Never invest in something you don’t understand

Download to read the full article.

Disclaimer: The views expressed herein are those of James Montier as of March 8, 2011 and are subject to change at any time based on market and other conditions. This is not an offer or solicitation for the purchase or sale of any security and should not be construed as such. References to specific securities and issuers are for illustrative purposes only and are not intended to be, and should not be interpreted as, recommendations to purchase or sell such securities.
Copyright © 2011 by GMO LLC. All rights reserved.
Subscribe to GMO Research