Valuations of quality companies make for compelling opportunity

Warren Buffett's basic investment premise is to "be fearful when others are greedy and greedy when o...

Warren Buffett's basic investment premise is to "be fearful when others are greedy and greedy when others are fearful". As he pointed out in a recent article, there have been few periods in recent history when markets have been more fearful. Investors should be on their guard. They should be wary of weak businesses, particularly those that need more capital to survive in an environment where new loans are hard to come by. However, as Buffett points out, there are plenty of sound, well-capitalised companies that should be around for many years to come, and posting record profits in five or...