How do you spend your money? No I am not getting moralistic on how you should spend your money, just asking. I know of young people – I mean in their 20s and 30s who use all 3 methods of spending, and I have nothing against it. However when you use all 3 methods, tracking […]
Should you buy or rent real estate? Well when you buy, if you use your own money, the answer could be different. Borrowing changes things. No, I am not getting into the calculations. When you buy a house, you are buying steel, cement, paint, glass, services of a builder, architect…..right? YOU ARE BORROWING MONEY TO […]
Those reading my blog for a long time know that I am a fan of the Bucket Theory of Investing for a Retiree portfolio. How this theory works is simple. Let me take an example. Let us say that there is a young retired couple (as they say Young in the draw down stage). Let […]
I was talking to one of the gurus of value investing recently. He has actually created wealth for a lot of people and of course for himself…I asked him some questions..some stupid questions too..but I am not writing about them. After all I have not done any course on value investing. Here we go…. You […]
Overconfidence is the worst investment bias, and I have done posts on that. Let us see what can be done to avoid over-confidence….or what I think will work. Keep a notebook and write down the reasons why you buy or sell a share: even if you get a buy or sell right, you might get […]
When we are children we know what we know and what we do not know. We readily admit that we do not know. We even admit that we do not understand. We ask our teachers when we do not understand. However, when we reach about 7-8 years of age, we start behaving like adults…and get […]
Let’s say the analysts were expecting a company (even of the standing of Colgate or HUL) to declare an EPS of Rs. 20.50 but it ends up earning Rs. 19.0, how does the market react? It panics. To be more precise the media shrill goes up, and the analysts come and give tons of reaction […]