Investment, in all of its different forms, is the ultimate theme of life. We think about investing in our education, our health, our businesses, investing in our children and in our careers. We also think about investing our money, the very thing that these letters are about. Investment - in all of these contexts - is interesting because it is always about the future. We do not invest for the past or even for the present - that is a ridiculous notion. We always, in whatever way we are thinking of, invest for our futures. 'Live like you might die tomorrow; invest like you will live forever.'

In a nutshell, Martin Hawes' investment philosophy is:

• Invest - do not become a trader or speculator
• Buy value - the worth of any investment is established by its income
• You can time the market - there are cycles which can and should be played to your advantage
• Be very careful when borrowing to buy investments - gearing is a double-edged sword
• Have very clear goals - and take as little risk as you can to meet them.
• Manage your investments yourself as far as you can - but use managed funds for difficult markets
• Never invest in things that you do not understand