There is probably no worse investment strategy than following the conventional wisdom with a time-lag, and that is precisely what many small investors do - often with the encouragement of their advisers.

To win the lottery once may be evidence of luck or skill; to win it repeatedly is evidence of skill.

An asset is worth what someone is willing to pay for it; and the value of an asset is the cash it will generate over its life.

Value investing was once the purchase of tangible assets at levels below their market value. Value investing today is buying sustainable competitive advantages at a good price.

Three simple rules - pay less, diversify more and be contrarian - will serve almost everyone well.