Bernard Baruch’s 10 Rules of Investing

You want someone to emulate?

Bernard Baruch (August 19, 1870 – June 20, 1965) was the son of a South Carolina physician whose family moved to New York City when he was eleven year old. By his mid-twenties, he is able to buy an $18,000 seat on the exchange with his winnings and commissions from being a broker. By age 30, he is a millionaire and is known all over The Street as “The Lone Wolf”.

In his two-volume 1957 memoirs, My Own Story, Baruch left us with the following timeless rules for playing the game:

“Being so skeptical about the usefulness of advice, I have been reluctant to lay down any ‘rules’ or guidelines on how to invest or speculate wisely. Still, there are a number of things I have learned from my own experience which might be worth listing for those who are able to muster the necessary self-discipline:”

1. Don’t speculate unless you can make it a full-time job.

2. Beware of barbers, beauticians, waiters — of anyone — bringing gifts of “inside” information or “tips.”

3. Before you buy a security, find out everything you can about the company, its management and competitors, its earnings and possibilities for growth.

4. Don’t try to buy at the bottom and sell at the top. This can’t be done — except by liars.

5. Learn how to take your losses quickly and cleanly. Don’t expect to be right all the time. If you have made a mistake, cut your losses as quickly as possible.

6. Don’t buy too many different securities. Better have only a few investments which can be watched.

7. Make a periodic reappraisal of all your investments to see whether changing developments have altered their prospects.

8. Study your tax position to know when you can sell to greatest advantage.

9. Always keep a good part of your capital in a cash reserve. Never invest all your funds.

10. Don’t try to be a jack of all investments. Stick to the field you know best.

Baruch would later go on from Wall Street to Washington DC as an advisor to both Woodrow Wilson and to FDR during World War II.

Later, he became known as the Park Bench Statesman, owing to his fondness for discussing policy and politics with his acquaintances outdoors.

He lived til a few days shy of his 95th birthday in 1965. You could do worse than to invest and live based on these simple truths.


Full Disclosure: Nothing on this site should ever be considered to be advice, research or an invitation to buy or sell any securities, please see my Terms & Conditions page for a full disclaimer.

What's been said:

Discussions found on the web
  1. namegolden commented on Feb 09


    […]very handful of web sites that happen to become comprehensive beneath, from our point of view are undoubtedly effectively worth checking out[…]

  2. تستر دوربین مدار بسته commented on Feb 10


    Greetings from Florida! I’m bored to death at operate so I made a decision to examine out your internet site on my iphone throughout lunch crack. I appreciate the info you give right here and can’t hold out to get a appear when I get residence. I’m stu…

  3. کولر صنعتی commented on Feb 10

    خرید کولر صنعتی

    under you will occur throughout the hyperlink to some world wide web-sites that we think about it is best to check out

  4. سیستم حفاظتی commented on Feb 10

    سیستم حفاظتی

    Many thanks for another educational internet web site. The spot else could I get that variety of details composed in this sort of an perfect technique?I have a undertaking that I’m just now working on, and I have been at the appear outfor such data.

  5. کولر صنعتی commented on Feb 10

    خرید کولر صنعتی

    under you will arrive across the link to some world wide web-internet sites that we think about it is greatest to check out

  6. خرید vpn commented on Feb 10

    vpn ایفون

    Many thanks once again for the site publish.Truly thank you! Great.

  7. خرید vpn commented on Feb 10

    vpn ایفون

    Thanks again for the site submit.Genuinely thank you! Excellent.

  8. خرید دوربین مدار بسته commented on Feb 10

    خرید دوربین مدار بسته

    Hi there there! This is sort of off topic but I require some suggestions from an recognized website. Is it really difficult to established up your personal site? I’m not very techincal but I can determine issues out rather fast. I’m considering about l…

  9. خرید گوگل ادوردز commented on Feb 11

    تبلیغ در گوگل ادوردز

    Hi would you brain stating which site platform you’re doing work with? I’m organizing to begin my personal weblog shortly but I’m getting a tough time deciding amongst BlogEngine/Wordpress/B2evolution and Drupal. The explanation I inquire is since your…

  10. سیستم cctv commented on Feb 11

    سیستم حفاظتی

    What is up it is me, I am also checking out this internet site on a regular foundation, this site is truly nice and the viewers are truly sharing great thoughts.

  11. سیستم cctv commented on Feb 11

    سیستم حفاظتی

    underneath you will occur throughout the url to some internet-sites that we think about it is ideal to pay a visit to

  12. خرید vpn commented on Feb 12

    vpn ایفون

    I’m actually loving the concept/design of your net internet site. Do you ever run into any internet browser compatibility troubles? A small amount of my blog audience have complained about my site not operating correctly in Explorer but appears great i…

  13. سیستم cctv commented on Feb 12

    سیستم حفاظتی

    Admiring the dedication you put into your blog and in depth data you offer you. It is awesome to arrive throughout a website every single once in a although that isn’t the same previous rehashed information. Wonderful study! I have bookmarked your webs…