Some important lessons in Investment management and Investment experience….
- Investment Management Fee hurts: I never wanted to do PMS for a fee. This hurts the customer – especially if the client cannot understand that I would drive like a maniac! Imagine the risk that I would take – just to earn my fee. I would prefer that I choose to help you in your behavior for a fixed fee charged by the mutual fund.
- Brokerage business TODAY conflicts with wealth building for a client: I have a broker who is more interested in my wealth creation than his brokerage income. However, such people are difficult to find TODAY.
- Investment team will not work: I never hired somebody expensive to do what I could ask him/her to do. I have bought research reports (made them too) but never hired a full time research person.
- Talking to 2 smart people for 2 hours is better than 2 weeks of research with just the annual report and Google.
- Conviction is difficult: When I bought Coromandel International in 1986 the person who was selling was Idbi! They were sitting on the board. I was seeing a turnaround, STILL surprised that they couldn’t see it.
- You can be right, market can be wrong – ONLY IN THE SHORT RUN. I could spot some arbitrage opportunities – I am still surprised that nobody else thought it worthwhile to do the transaction.
- Do not argue with the market – it is like spitting against the wind.
- When a fund manager tells you interest rates will go up, and you believe it, there are many things that you can do to benefit!
more…..to come…as always..
Post Footer automatically generated by Add Post Footer Plugin for wordpress.