Margin of Safety: Warren Buffett’s Favorite Tool - New York Tech Media

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Margin of Safety: Warren Buffett’s Favorite Tool - New York Tech Media

Investing can feel risky, especially when the stock market moves up and down. That’s why successful investors, like Warren Buffett, use the Margin of Safety to reduce risk. But what does that mean? Buffett once said: “The three most important words in investing are margin of safety.” This simple idea helps investors avoid paying too much for a stock. It acts as a cushion in case things don’t go as planned. This article will explain the Margin of…