The year was 1939 and the world was crumbling as WWII unfolded.
Confidence in world markets was gone and most wondered if it would ever return.
One man invested his life savings of $10,000 into every stock on the #NYSE that was under $1 a share.
Billionaire Sir John Templeton
Confidence in world markets was gone and most wondered if it would ever return.
One man invested his life savings of $10,000 into every stock on the #NYSE that was under $1 a share.
Billionaire Sir John Templeton
“According to Templeton, he called his broker the day World War II began and instructed him to purchase every stock trading at less than a dollar.”
Templeton attributed much of his success to his ability to maintain an elevated mood, avoid anxiety and stay disciplined.
Uninterested in consumerism, he drove his own car, never flew first class and lived year-round in the Bahamas.
Uninterested in consumerism, he drove his own car, never flew first class and lived year-round in the Bahamas.
Templeton became known for his "avoiding the herd" and "buy when there's blood in the streets" philosophy.
He also was known for taking profits when values and expectations were high.
He also was known for taking profits when values and expectations were high.
He took the strategy of “buy low, sell high” to an extreme, picking nations, industries, and companies hitting rock-bottom, what he called “points of maximum pessimism.”
When war began in Europe in 1939, he borrowed money to buy 100 shares each in 104 companies selling at one dollar per share or less, including 34 companies that were in bankruptcy. Only four turned out to be worthless, and he turned large profits on the others.
