Lesson 13: Your fair-value estimate is itself a guess. The buffer is what protects you when the guess is wrong.
Your estimate might be wrong. So?
You think it's worth $100 a share.
If you decide to buy, what's the sensible move?
Margin of Safety
Lesson 13: Your fair-value estimate is itself a guess. The buffer is what protects you when the guess is wrong.
You think it's worth $100 a share.
If you decide to buy, what's the sensible move?