Investing means dealing with the future which one would know it with certainty. There would always be risk which cannot be escaped. In investing higher risk comes from not knowing things than an asset class.
Psychology of elusive!! Extremely important and hard to master. It’s a factor that camouflages investors’ minds and influence their actions on your decisions as well.
Establishing healthy relationship between fundamental – value – price is at the core of successful investing. There are no such thing as good or bad ideas regardless of its price! Believe me, there’s nothing better than buying from someone who has to sell regardless of price during a crash.
Markets are inefficient too, just like humans – with over load of information & analysis. Inefficient market, prices are either over/under its intrinsic value. Trade off between the two determines investors risk and return.
It is misleading to believe that every one can be a successful investor. Not everyone can – fact being, prevalence of first level thinker ( timing the market) increase chances to make money for second level thinker( time in the market).
Investing counts for more than making decisions – right or wrong, profit or loss. It is called perspective thinking, which is the next level as an Investor.
An investor wants much more than just market return. Investing in other words also means ‘giving a word to the purpose of – being’. Ability to use intelligence and making decisions with hope not just to make market type return – but to beat it.
An investor wants much more than just market return. Investing in other words also means ‘giving a word to the purpose of – being’. Ability to use intelligence and making decisions with hope not just to make market type return – but to beat it.
Investing can’t be a result of algorithm; even best investors don’t get it right every time. Reasons could be attributed, No rules always work, environment isn’t controllable & circumstances rarely repeats exactly.