Warren Buffett is counted among the most cool investors in the world and is an expert player in the stock market.
Warren Buffet is the largest investor in the world. He still earns crores of rupees by purchasing stock in his own way. His strategy to buy stock is fantastic. Also, the strategy of selling it is amazing. Most people do not know about Warren Buffet’s sale strategy. Let us tell you what is the technique of boafy about selling stock.
Investment to people in the Indian stock market is increasing day by day. Small investors enter the market to increase their earnings and submerge their money. There are 19 crore demat in the country. Millions of crores are also investment through it. But if we look at the data of NSE, it shows the bitter truth of the market. According to the NSE, 90 percent of investors suffer losses, who buy stocks in a hurry and sell it without any selling strategy.
Warren style selling strategy
- Understand the company well- Check the company’s profits, its status in the market and quality of management before investment. If a company, such as the aviation sector, is constantly in loss or its impact in the market is decreasing, then it may be time to sell that stock.
- Pay attention to the real price- If the price of a stock is much higher than its actual value, then be careful. Use tools such as price-to-earning ratio or cash flows to find out whether the price of the stock is correct or not. Buffet says, if you do not know the real value of your investment, then you are at risk.
- Stay calm in the market turmoil- When the market falls, the biggest mistake is to sell stock and sell stock. If the company’s foundation is strong, there is no need to sell it. Buffet says that the desire to earn money in haste can harm the benefits of a long time. Ignore the ups and downs of the market and take decisions carefully.
- Benefits from patience- Buffet’s strategy is not to buy and sell repeatedly, but to invest wisely. He has said that if you are not ready to keep a stock for 10 years, do not buy it for 10 minutes. Be patient, because Buffet has made most of its wealth in a long time.
- The right time to sell- Buffett’s stock selling formula rests on four things: the company’s strength, better investment options, correct assessment and patience. This formula shows a way for Indian investors, who want success for a long time. Watch your portfolio carefully, avoid market noise and focus on a long time value. Buffet’s thinking in unstable market like India can guide you.
Disclaimer- TV9 Hindi does not recommend buying and selling any stock. Be sure to consult expert before investment.