Forgive me, but I think you've illuminated the exact way to be a great investor repeated by buffet ad nauseam. Don't buy and sell repeatedly - you lose on the transaction fees. Act like you have a punch card with 10 holes for your entire life and you use one every time you buy a company. That way you'll really consider you decisions and won't lose money on transaction fees from repeated buying and selling.
Buy great companies cheap or at a good price. Only sell if you think they are technologically threatened (horse and cart vs car situation) or have grown to take up too much of your portfolio (like up 50%+ of your portfolio).
This is basically how buffet got mega rich. Amex, Coca Cola, Apple, Geico, etc. These few big bets made him a very rich man and he still holds them today.
Losing 1% per year to transaction/currency/ management fees per year really adds up over a lifetime. And it doubly matters when you are rich enough to pass the cap gains threshold. 20% lost on every time you sell at a profit in the UK - that compounds too!
Or - if you can't be bothered with the effort to try and beat the market - you've also illuminated another bit of buffets advice. Invest in and hold an s&p ETF through your whole life.
In fact Munger is one of the biggest proponents of "invert, always invert"
Buy great companies cheap or at a good price. Only sell if you think they are technologically threatened (horse and cart vs car situation) or have grown to take up too much of your portfolio (like up 50%+ of your portfolio).
This is basically how buffet got mega rich. Amex, Coca Cola, Apple, Geico, etc. These few big bets made him a very rich man and he still holds them today.
Losing 1% per year to transaction/currency/ management fees per year really adds up over a lifetime. And it doubly matters when you are rich enough to pass the cap gains threshold. 20% lost on every time you sell at a profit in the UK - that compounds too!
Or - if you can't be bothered with the effort to try and beat the market - you've also illuminated another bit of buffets advice. Invest in and hold an s&p ETF through your whole life.
In fact Munger is one of the biggest proponents of "invert, always invert"