Exclusive Q&A With Mark Cuban:
What’s the one piece of money advice you wish every person would follow?
Don’t follow excitement, follow your homework. People tend to chase excitement in markets thinking if everyone else is buying or selling, they should be too. Instead, we all need to do our homework and have a good reason why we are buying or selling a stock. And when you don’t know what to do, do nothing. Over the long haul of decades, the markets will work in your favor.
What’s the worst investment you’ve ever made?
So many I can’t name one. Typically, it’s a private company where I trusted someone I should not have. Integrity of the CEO often is a greater determinant of an investment’s future performance than their business acumen.
If you are investing money you can’t afford to lose in a private company, make sure you get independent references on management.
Owner of the Dallas Mavericks
Sold Broadcast.com to Yahoo for $5.7 billion in 1999.