Thursday, February 23, 2006

The Price of Victory; Feb 22, 2006

BOB OLSTEIN IS a numbers kind of guy. He has built a great reputation by digging into corporate accounting. His own bottom line: He holds himself strictly accountable to his investors.

Barron's: Give us some investing principles to live by.

Bob Olstein: "If you want to succeed in this business, don't be afraid to be wrong some of the time. The only thing that counts out there is paying the right price. If you pay the wrong price for a good company, you may have a bad stock."

What keeps you up at night?

"The biggest fear that you have, that gives you cold sweats, is to ride a stock (like Pier 1 (PIR1), which I recently sold) from 14 to 9 and then sell it when it's at its low for the last four years and worry that the stock is going to come bouncing back."

All the best,

Dah Hui Lau (David)

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