See how #London was taken over by a British icon ahead of the #Defender 2,000,000 auction https://t.co/Xj7Dj2C6qm pic.twitter.com/ftdiwjreae
— Land Rover (@LandRover) December 16, 2015Friday, December 18, 2015
See how London was taken over by a British icon ahead of the Defender 2,000,000 auction
Are you a good investor?
When we start anything we get self doubt, anxiety and stressed out. We need to know whether we are doing it right. That is why we constantly pester our friends, classmates and whoever willing to hear us. Now a days we go to various blogs and check if we are doing it right. If we are able to do something better than others then we go to blogs and Facebook to tell everyone that we are doing fine. We increase our happiness by sharing also reduce sorrows by sharing. We get more happy by comparing others also we feel miserable by comparing others. If our friend able to get a 30 percent return on stock and you get 25 percent then you spend several days without sleep. These things happen since we do not have a per-conceived investment plan.
First of all we have to define what is good investor means. Warren Buffet is a good investor. So is George Soros and many more people. So do you compare with them and worry if you are not doing as well as them.
I remember one of my friends written a quote sometime back. the quote is about success.
"People define success in many ways. But real success is the one that gives satisfaction and pleasure when achieved. So it is paramount to ascertain first what success means to you." Arockiam J
Same with investing. You have to first define what is investing success means to you.Will you consider yourself if you make a million per year? Will you be happy if you make an annualized return of 13 percent? So if you have an achievable target in mind you would not be worried about what others are making. You will work towards your target.
Also one investment or one trade will not tell you if you are a good investor or bad investor.
First of all we have to define what is good investor means. Warren Buffet is a good investor. So is George Soros and many more people. So do you compare with them and worry if you are not doing as well as them.
I remember one of my friends written a quote sometime back. the quote is about success.
"People define success in many ways. But real success is the one that gives satisfaction and pleasure when achieved. So it is paramount to ascertain first what success means to you." Arockiam J
Same with investing. You have to first define what is investing success means to you.Will you consider yourself if you make a million per year? Will you be happy if you make an annualized return of 13 percent? So if you have an achievable target in mind you would not be worried about what others are making. You will work towards your target.
Also one investment or one trade will not tell you if you are a good investor or bad investor.
Think differebtly to be a successful investor.
John Templeton, A legendary investor and mutual fund pioneer
Quote: "If you buy the same securities everyone else is buying, you will have the same results as everyone else"
Templeton became a billionaire by pioneering the use of globally diversified mutual funds. His Templeton Growth Fund was among the first which invested in Japan in the middle of the 1960s and reap the benefit on the country’s astronomical economic rise.
Wednesday, December 2, 2015
Astrologer, Wall Street Analyst, Financial Journalist: Who is reliable?:-)!
Astrologer
One
who studies the positions and relationships of the sun, moon, stars, and
planets in order to judge their influence on human actions? Astrology,
unlike astronomy, is not a scientific study and has been much criticized by
scientists. Source: The American Heritage® New Dictionary of
Cultural Literacy, (Note Astrologers may use parrots and sometimes even
donkeys)
Analyst:
Securities
Analyst is a person who researches and reports on the state of securities.
Similar to astrologers use of parrot Security analyst may use diagrams and
mathematical formulas.
Financial Journalists
Tracks, records, analyze and interpret
the economic
changes that take place in markets, well-known and not-so-well-known companies.
To be successful
investor:
Companies primary purpose is maximizing
shareholder value. The primary purpose of financial analysts or journalists is
maximizing their value or their stake holder value not your invested company’s
value. Companies financial statements have more truth than even what your
invested companies CEO' tell in news conferences and press meetings. Even
though financial statements can be cooked they leave a trail and can be traced.
Use stock tips by analysts and
journalists to get direction but not to make decision. Without fire there may
be no smoke thing is not always true.
Approach things with pinch of salt.
Develop your own system and stick with
it
Why some stocks are muti baggers and few others may make you beggars?
Some stocks are multi baggers. That is they multiply over a course of
few years. When an investor invests in a company which is low priced
tend to appreciate over time due to high growth, improving market
sentiment etc,
Why the stock is undervalued in first place? It may be a growing company in the latest industry or it was bottomed out due to market conditions or debt ridden.
If you buy debt ridden non performing, dividend paying company on borrowed money then those companies can make you beggar over a course of time or within few months if market collapses. Turn around stories are rare and if you invested in those companies consider your self lucky. You may not be able repeat it.
Why the stock is undervalued in first place? It may be a growing company in the latest industry or it was bottomed out due to market conditions or debt ridden.
If you buy debt ridden non performing, dividend paying company on borrowed money then those companies can make you beggar over a course of time or within few months if market collapses. Turn around stories are rare and if you invested in those companies consider your self lucky. You may not be able repeat it.
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