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Welcome! If you had invested only $1000 in McDonald's in 1965, your investment would be worth $1,200,000 in 2005 (With no added money or effort on your part and dividends reinvested.). If you had invested $1000 in Wal-Mart in 1970 and had let it compound. Today, it would be worth over $5 MILLION. Smart tip: Invest $1000 (in a great company) for each of your children or grandchildren on the year they are born. When they reach 65, this investment could possible compound to millions. This is the Power of Compounding.
Focus on doubling your money. Each dollar you earn is equal in value and a worker for you. Where you put your worker dollar to work for you makes a difference. If put invest that dollar to work in the wrong company, you can lose your money. Put that same worker dollar in the right company, and it can help you multiply your wealth. Use a BA-35 Compounding Calculator.
"It is smarter to have your money work for you than for you to work for money." When you invest your money in stocks of great companies, you can have billionaires such as Bill Gates, Warren Buffet, Steve Jobs and other billionaires working for you! Before you invest, always do lots of research on the Internet and read annual reports. Then, make your own decisions. Hold great stocks 10 - 20+ years to enjoy the best returns. Be patient. Good luck. Have fun! (Share this page with your friends.)
Join Lorrin's Global Investors Club Newsletter for my latest investment tips and ideas. Plus, you can share your tips, ideas and portfolio. Free. Email your name and country by clicking on GIC Newsletter. Tip: To prevent becoming homeless, own your home, no matter how small. Then, invest in the highest quality businesses for the long term to get rich.
Lorrin L. Lee, Investor. Honolulu, Hawaii. My online broker: ETrade.com
Note: I am adding more China stocks to prepare for the 2008 Olympic exposure which may make them soar.
More of Lorrin's Stock Picks
Abbott Laboratories (ABT),
Adobe (ADBE),
Akamai (AKAM),
Apple (AAPL),
American Express (AXP),
Anheuser-Busch (BUD),
Baidu (BIDU),
Bank East Asia (BKEAY.PK),
Bed, Bath & Beyond (BBBY),
Best Buy (BBY),
Capital One Financial (COF),
CDC Corp (CHINA),
China Life Insurance (LFC),
China Mobile (CHL),
Cisco (CSCO),
Corning (GLW),
CitiGroup (C),
Coca-Cola (KO),
Colgate-Palmolive (CL),
Commerce Bancorp (CBH),
Ctrip.com (CTRP),
Dell (DELL),
Disney (DIS),
Ebay (EBAY),
EMC (EMC),
Fedex (FDX),
Garmin (GRMN),
General Electric (GE),
Google (GOOG),
Hansen Natural (HANS),
Harley-Davidson (HDI),
Harrah's (HET),
Hershey (HSY),
Hewlett-Packard (HPQ),
Home Depot (HD),
H&R Block (HRB),
Infosys (INFY),
Intel (INTC),
J C Penny (JCP),
Las Vegas Sands (LVS),
Lowe's (LOW),
MasterCard (MA),
McDonald's (MCD),
Metropolitan Life (MET),
MGM (MGM),
New York Stock Exchange (NYX),
Nike (NKE),
Paychex (PAYX),
Pepsico (PEP),
Petro China (PTR),
Pfizer (PFE),
PrePaid Legal (PPD),
Qualcomm (QCOM),
Ross (ROST),
Shanda (SNDA),
Sony (SNE),
Staples (SPLS),
Starbucks (SBUX),
Target (TGT),
Toyota Motors (TM),
UPS (UPS),
Wal-Mart (WMT),
Washington Mutual (WM),
Walgreen (WAG),
Yahoo (YHOO).
Warren Buffett Portfolio 2006
Coca-Cola (KO),
American Express (AXP),
Wells Fargo (WFC),
Procter & Gamble (PG),
Moody's (MCO),
Wesco Financial (WSC),
Anheuser Busch (BUD),
Johnson & Johnson (JNJ),
Washington Post (WPO),
ConocoPhillips (COP),
Wal-Mart (WMT),
Ameriprise (AMP),
White Mountains (WTM),
M&T Bank (MTB),
USG Corporation (USG),
American Standard (ASD),
Comcast (CMCSA),
Nike (NKE),
Tyco (TYC),
General Electric (GE),
Costco (COST),
Iron Mountains (IRM),
SunTrust Banks (STI),
H&R Block (HRB),
First Data (FDC),
Lowe's (LOW),
Gannett (GCI),
Western (WU),
Torchmark (TMK),
Home Depot (HD),
United Parcel Service (UPS),
Petrochina (PTR),
Outback Steakhouse (OSI),
Servicemaster (SVM),
Target (TGT),
Sealed Air (SEE),
Pier 1 Imports (PIR),
Sanofi Aventis (SNY),
Comdisco Holding (CDCO).
Warren Buffett is the world's greatest investor. 2006 Net worth: $46 billion. A $10,000 investment into Berkshire Hathaway when Buffett took control in 1965 would be worth over $50 million today. By comparison, $10,000 in the S&P 500 would have grown to only $500,000. "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price." — Warren Buffett
The Miracle of Compounding
Number of Years/% - to Double Your Money
1 yr/100%. 2 yr/42%. 3 yr/26%. 4 yr/19%. 5 yr/15%.
2 Rules of Investing
Rule No. 1: Never lose money.
Rule No. 2: Never forget Rule No. 1.
Investing Tips
1. The price you pay determines your rate of return.
2. Study Investor's Business Daily to check on stock charts. Free trial subscription.
3. Expect stock prices to go up and down. Be patient on great stocks.
4. Do your own research. Do not depend on other people for tips.
5. For USA residents, maximize your Roth IRA so you can take out money without paying taxes.
6. An Investment Strategy.
The stock market is... an indicator of people's moods and levels of optimism about the growth potential of stocks. Study charts, news. Change in management, new hot products, earnings...affect prices. Stock prices usually drop after a fast run up. Stocks going up usually keep going up. Stocks going down usually keep going down. Buy on the up trend. Be aware of exceptions to all rules. Stick with facts (charts) and news (changes), not opinions.
Recommended reading
How Buffett Does It by James Pardoe. 2005.
How to Pick Stocks Like Warren Buffett by Timothy Vick. 2001.
Warren Buffett Wealth by Robert Miles. 2004.
101 Reasons to Own the World's Greatest Investment by Robert Miles.
The Warren Buffett CEO.
Thoughts of Chariman Buffett by Simon Reynolds.
The Intelligent Investor by Benjamin Graham. Buffett's favorite book on investing.
Security Analysis by Ben Graham and David Dodd.
Warren Buffett Speaks by Janet Lowe.
Value Investing Made Easy by Janet Lowe.
Investor Resources
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