886 ASX listed companies lost more than 60% in 2008

Did you know:

• 321 ASX listed companies lost more than 80% of investors capital during 2008, and

• 886 ASX listed companies lost more than 60% of investors capital during 2008?

Companies like: Allco, MFS, Babcock & Brown, Centro & ABC Learning. These capital killers have left many share investors with their confidence shattered. Being a successful share investor during 2008 meant avoiding these capital killers.

I use an investment method based upon the ideas of Warren Buffett. The method uses a software program with comprehensive filters that scan the entire market for stocks that meet our investment criteria. The method identifies great stocks, calculates what price to pay for them, when to sell them and what return you can expect under your investment horizon. The method avoids mediocre stocks which create worry no matter what price you paid for them.

The investment method I use would have avoided all 886 capital killers during 2008.

Did your investment method avoid all 886 capital killers during 2008?

I will end this post with one of the best quotes that describes Buffett's investment method:

Your goal as an investor should be simply to purchase, at a rational price, a part interest in an easily understandable business whose earnings are virtually certain to be materially higher, five, ten, and twenty years from now.

Important Information

The above information provides an overview or summary only and it shouldn’t be considered a comprehensive statement on any matter or relied upon as such. The above information doesn’t take into account your personal objectives, financial situation or needs. It’s important for you to consider these matters before making any financial decision and I recommend you seek help from a financial adviser.