📍Did you know: What is the Margin of Safety in investing?

The Margin of Safety in investing refers to leaving a certain buffer space when purchasing assets to guard against prediction errors or unexpected risks. In other words, it's the investment strategy of buying the dip.

Core principles:

1. First, estimate the intrinsic value of the asset;

2. Then purchase at a price below the intrinsic value (e.g., at a 30% discount or lower);

3. This way, even if your judgment is incorrect or the market fluctuates, your principal remains well protected.

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