Today's stock market is far more volatile than in most periods of history. Many investors follow the latest news and expert opinions to make critical investment decisions. The problem is that the vast majority, including most experts, fail to consistently outperform the market indices like the S&P 500 or Nasdaq over time. This has been proven true in the past for the overwhelming majority, and it will undoubtedly hold true in the future.

Some investors view market volatility as an opportunity. Their efforts to outperform the market lead to increased speculation, which in turn amplifies the overall volatility. Short of covertly manipulating the market, no individual or organization has yet successfully predicted the future. In the meantime, the stock market has derailed from its original purpose of providing liquidity to promising businesses and has instead become a sort of casino. Investments have been thrown into companies without realistic prospects of profitability, and when the stock market bubble bursts, both investors and the economy suffer the consequences.

Legendary investors like Warren Buffett, Charlie Munger and Benjamin Graham have long preached the principles of value investing. The idea is simple yet profound: invest in a company as if you are going to own it. Just as potential buyers would scrutinize every detail of a business before acquisition, value investors do the same. No sentiment analysis, no technical analysis, just pure fundamental analysis.