"I like big, secure companies. I know what they do for a living. When I see their names on my monthly statement I know how they make their money"
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John Fisher's quote encapsulates a preference for purchasing well-established, protected business with a clear, easy to understand business model. When he specifies, "I like huge, safe and secure companies", Fisher shows a conservative financial investment technique. He prefers organizations with a proven track record of stability and profitability. Such companies are frequently leaders in their markets, having the resources, market position, and brand recognition that assist them browse financial fluctuations. This method recommends a lower tolerance for risk, focusing on stable, reputable returns over the capacity, yet unsure, high gains used by purchasing smaller or emerging companies.
Fisher's emphasis on knowing "what they provide for a living" points to the importance of openness and familiarity in financial investment decisions. It's important for an investor to comprehend how a business produces its profits, handles its operations, and maintains its competitive advantage. This comprehension help in making notified choices, examining the prospective risks and benefits tied to an investment, and predicting future performance. By comprehending the basic company design, financiers are better equipped to examine a business's long-term viability and development potential.
The reference of seeing business names on his "month-to-month declaration" underscores the peace of mind and confidence stemmed from purchasing well-known entities. For Fisher, there's a sense of comfort in acknowledging these names, suggesting that familiarity types trust. It indicates satisfaction in understanding that his capital is assigned in organizations whose public understanding, ethical standards, and revenues capacity he trusts. This frame of mind most likely interest investors who beware and value capital conservation over aggressive development strategies.
In summary, Fisher's quote shows a careful, educated investment viewpoint that values stability, transparency, and familiarity. It promotes for due diligence, motivating financiers to completely comprehend a business's operations before devoting capital, ensuring that investments align with their threat tolerance and financial goals.
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