The simplist of investing rules is known to nearly everyone who ever put a dollar in any investment. It is, "buy low-sell high. That simple phrase is the only way anyone makes money as an investor but like most simple rules, it is seldom followed.

Just as we know just what cause us to be overweight, eating the wrong kinds of foods and not exercising, we know what causes us to fail at investing. We let fear and greed take over our logic and we buy high-sell low. Just the opposite of the simple rule of investing.

How does that happen? We let greed cause us to make investment choices when the investments are already overpriced. We hear that everyone is making money in....houses, land, internet stocks, energy, commodities and we finally give in and buy high. When the bubble bursts and the market contacts, we can't take the pain and we get out...selling low. It is a forumula for failure.

We are now in a stock market bear which has driven some excellent companies to low prices that have not been seen in years. How do you buy low? Buy when fear is the greatest.

Warren Buffet said recently, as he put more millions into stocks,"Buy when fear is greatest and sell when greed is highest." That simple rule has made him the one of the richest men in the world. Will it work for you? Sure, if you can lay aside your fears, you may find his to be one of the grear financial opportunities that come along few times in a life time.

Author's Bio: 

Mr Craig is an investment expert who has been quoted widely in financial publications. He is the only person ever to hold the "Office of Investment Performance" at Merrill Lynch. After retiring from that post, he started Performance leadership to teach, train and guide others to successful personal development.