If you don't understand a company, if you can't explain it to a ten-year-old in 2 minutes or less, don't own it. - Peter Lynch

By the way, the odds against making a living in the day-trading business are about the same as the odds against making a living at racetracks, blackjack tables, or video poker.

A successful stockpicker has the same relationship with a drop in the market as a Minnesotan has with freezing weather. You know it’s coming, and you’re ready to ride it out, and when your favorite stocks go down with the rest, you jump at the chance to buy more.

Corporate profits will be a lot higher 10 years from now. They'll be a lot higher 20 years from now. That's what you can rely on. Microsoft didn't exist 20 years ago. Staples didn't exist 20 years ago—Federal Express didn't exist 20 years ago. New companies will come along. That's what makes stocks go up.