Flaharty Asset Management "BIG 12"

  • Re-evaluate every day - Never fall in love with our opinion
  • Valuation matters - Run the numbers, does it make sense?
  • Insiders are smart - Listen to them
  • Technical analysis works - Use it
  • Trends are powerful and can buffer minor mistakes - Always go with a trend
  • Contrarian thinking is hard but very rewarding - Do it often
  • If a story hasn’t changed - Add to positions on more favorable terms
  • Stick to game plan in the heat of the moment - Re-evaluate during calm
  • It’s okay to sell at a loss - Process outweighs emotion
  • Buy Strength - Sell Weakness - Okay to buy higher
  • Fundamental analysis not enough - Some things can stay cheap forever
  • There’s never just one cockroach - Always other issues

 

"Risk comes from not knowing what you are doing."

-Warren Buffett