My threshold for pain is high as long as I believe I'm still right. Historically, we've made a lot more money on the long side when what we thought we were buying cheap went down another 30 percent before finally going up we always buy more if our thesis hasn't changed.

You obviously have to get your analysis right to be a great investor, but success also comes down to patience. We think of ourselves a bit like a lion lying in wait. There are plenty of gazelles running around, but we can't run after them all, so we wait for one to get within 125 [...]

When I started in research, I had one of the worst character traits an investor can have I was a “believer.” I was too often seduced by charismatic CEOs and by concept stocks, where the product or service made a lot of sense but there turned out to be cost, competitive or other reasons it [...]

Several years ago I made an investment in Cannondale, the bike company. I'm a cyclist, so I knew and liked the product. I went to visit the company around the time they had decided they needed to diversify by manufacturing all-terrain vehicles (ATVs). The CEO then was a pilot, as am I, so I find [...]