---
title: "&#34;A margin of safety doesn't mean being conservative. Being conservative is to avoid certain leve"
description: "&#34;A margin of safety doesn't mean being conservative. Being conservative is to avoid certain levels of risk, while a margin of safety increases the likelihood of success by improving the probabilit"
type: "topic"
locale: "en"
url: "https://longbridge.com/en/topics/38782440.md"
published_at: "2026-02-19T08:51:39.000Z"
author: "[Jason4HK](https://longbridge.com/en/profiles/21227604)"
---

# &#34;A margin of safety doesn't mean being conservative. Being conservative is to avoid certain leve

"A margin of safety doesn't mean being conservative. Being conservative is to avoid certain levels of risk, while a margin of safety increases the likelihood of success by improving the probability of survival. The magic of it is that the larger your margin of safety, the more likely you are to achieve a satisfactory outcome, and the less effort you need to exert."

My father often says I'm too conservative to make a fortune, and my reply is always: if this way of thinking prevents me from making a fortune, then so be it (making a fortune requires the right timing, location, and people—it's hellishly difficult, I can't even imagine it 🤔). Seeing this page today, I know I'm not conservative; I'm just pursuing a margin of safety. I'm just pursuing something that allows me to happily accept different outcomes.

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.
