Importance of Absorbing Information and Doing Your Own Research in Investing

Successful investing requires gathering outside information about businesses, such as from annual reports, and analyzing it thoroughly. Reading Wall Street reports may not yield valuable insights. It is essential to dedicate time to understand the businesses you are investing in, even for simple ones, by reading and thinking critically about the information available. Making informed investment decisions involves relating various aspects, a process that can't be shortcuts by just looking at numerical data on a chart.