The Importance of a Margin of Safety

The idea of a margin of safety comes about from the very thing you referred to Jim which is the inherent risk aversion that is part of a value philosophy. I think that along with the everything bubble has been pretty much draining out from the entire system of the idea that risk is there. That risk can't be controlled. We haven't permanently seen created an era where they will just always be less risk and less volatility in human affairs.