Friday, 6 November 2015

What you have missed !!

I studied and worked hard all my life, 
Got myself the best education so that I can get a good job and earn good salary.
I am a middle class guy
I want to save money
I don’t want to take risks with my savings
I invest mainly in gold and real estate

THAT’S THE STORY OF ALL OF US


HERE IS WHAT WE HAVE MISSED….

While fixed deposits have multiplied 18.5X
gold has multiplied 38X
….Sensex has multiplied 278X ….
......and if you had reinvested dividends back into Sensex 
your money would have multiplied 477X

But I have never made money in stocks

b’coz you try to time the market
          ….. b’coz you invest based on  tips
….b’coz you invest without any research
                   …. b’coz you don’t invest regularly
…. b’coz you invest for short term quick profit
…. b’coz you sell the winners and keep the losers

What should I do
…. Invest in stocks
… but only the money you don’t need for next 3-5 years
           ….invest only for long term…
           ….don’t try to time the market…
          …invest regularly …
                   …say NO to TIPs …


Investing is long term
…its as boring as …..
……watching the paint dry or
                   ……watching the grass grow
…. If you want excitement
 go to the casino

BUT
…there is RISK…..…
……..YES there is RISK
….. But there is more RISK in NOT INVESTING…..
          …..if you don’t invest …
          …INFLATION ….
          ..will EAT all your SAVINGS


WHAT SHOULD I DO?

……Invest for Long Term
                   ….in business you understand..
          …do thorough research
.invest only in companies with good Corporate Governance
          …typically invest in companies which are
profitable, high growth, low debt &
                             high return on equity..
..and buy at very attractive price..