Okay. We have several quotes and on top we have two quotes that kind of go

together. So let's look at the quotes here. Of course remember this is the very

famous Warren Buffett , the one that's on the you know, the Forbes list. He's usually

second I think he's actually third supposedly , the richest person in the

world. But anyway, let's continue. So here's the first one. Risk comes from not

knowing what you are doing. Okay. The next quote that goes together

with this is "Never invest in a business you cannot understand. " All right. So let's

look at these two quotes first. Let's look at the note here. What Buffett is

telling you is that if you buy what you know, your chances of making mistakes are

greatly reduced. They greatly are lower. You'll have less. You'll have less risk

and hopefully you should do better. Okay let's continue, let's continue here. When

we say by what you know, we mean did you have experience in that industry ? In that

field of the companies or the commodities you want to invest in ? Did

you major in this area ? Did you do any actual study in this area ? Did you have a

job that somehow connected to this industry ? And finally did you do any

serious homework, what we sometimes call research ? You know, did you check

on you know what the current prices are ? What the prices were in the past ? Or were

the actions over the last few years of it going up and down ?

What makes this stock you know, rise and what kind of what kind of situations in

the economy would make this this you know, stock possibly fall ? If it's a

product, if they sell products or something did you actually buy them ? How

do you feel comparing them to others ? So you have to look at the competition.

Things like that. So he says you know, only buy what you know. Only buy what you

think you can actually understand. Well and that's basically what he means by

that. All right. Here's another little note. Warren Buffett claimed to avoid

tech stocks because he says he did not understand the tech industry. So he was

trying to ... I guess he's saying he practices what he preaches. So he's

telling you don't buy what you don't understand and he himself says that he

never really understood tech or he couldn't understand all of it. You know,

what mean you know , what factors may make this go up and down. So he avoided it.

All right and let's look at the second part down here. Here's another quote.

Forecasts may tell you a good deal about the forecaster or the forecasters the

people that are giving you the forecast, They tell you nothing about the future.

Okay. Let's look at the note here. He is basically telling you to beware of

forecasters, especially those that appear on business stations. Some of them may

have ... may simply have been paid to promote a stock. You know, so . so you don't

know. that could be one thing that you kind of learn about them or possibly

learn about them. Or you're looking about you know, their logic that they're using

or their explanation. So you can learn a lot about them. But I guess he's saying

don't actually trust their forecasts. Often they disclose if they own the

stock or not and then that's kind of important. But there's two ways of

thinking about it. So I don't know if this really helps. So let's continue here.

Although I'm not sure this tells you much because some think if he does own

the stock. Maybe he's just trying to encourage you to buy the stock. So you

pump up the price or at least all the people out there pump up the price and

then he may sell at that point. And that would be actually like taking advantage

of the people and if he doesn't own the stock. Like what we say here. And, and if

he doesn't own the stock then, then why is he encouraging you to buy it ? If he's

not practicing what he preaches. So , so this is what he's saying be careful

about you know what forecaster's you take advice from. There are some other sites

out there you know, that, that's all they do. If you do want to listen to them

check out their track record. See if they if their forecasts have really come true

or not. That might be part of it too. If you want to listen to their advice at

all. Anyway hope you got it. I hope you found it informative. I hope you found it

enjoyable. Thank you for your time. Bye- bye.