In 1997, I coined the phrase “faith-based investing.” It has nothing to do with religion or with picking stocks at random. The idea is that a company with a great brand, attractive products, a history of success and a solid balance sheet will find a way to prosper even if it makes mistakes or otherwise experiences tough times.
The “faith” part is that you may not know exactly how such a company will get back on track, but you have blind confidence that it will.
