Don't Buy What You Know

If you're ever tempted to "buy what you know" in the stock market, repeat these two words: Boston Chicken.

During the early nineties, few people could resist the chain's rotisserie chicken or its sumptuous stock. When the company went public in 1993, the stock shot up more than 140% in one day, and its expansion across the country was seemingly unstoppable. Until of course, the company's accounting turned out to be disastrous. Boston Chicken filed for bankruptcy in 1998, was renamed Boston Market and is now owned by McDonald's.

Good food. Terrible company. ...