There are some very important things that you should know if you are a decent investor…even semi decent is fine….by the way….. 1. Leverage: borrowing money to do a deal. You have no clue of the time frame for which you are doing the deal, but hope to make a killing. Normally the deal, the […]

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Over the last few months, I think I have underperformed the market. No clue simply because I do not remember ALL the transactions that are worth comparing. Let me clarify. I do trade on the portfolio that I hold. So if say I have 5000 Cummins and I feel it is over priced at 535, […]

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It hardly matters whether it is equities or real estate, the reasons why people lose money is so simple to enumerate: 1. Not knowing the difference between trading and investing: they buy some shares, hope it goes up when it does not they sell off. Since they do not know whether they should be averaging […]

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I have done many posts on whether a parent should pay for the children’s higher education. Taking a stand against it causes people to ask me the following questions: 1. if i have money what am I going to do with that? 2. what is wrong in paying for a kid’s education? 3. will YOU […]

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In every financial planning class I need to do a post lunch session. To keep them awake I ask them to do a simple exercise – calculating how much money they require for retirement. Unless they are at least 37-38 years of age, they have no clue as to how much they need for retirement. […]

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The problem with simple steps is most people do not believe it. I remember that sometime in 1999-2000 inĀ  class somebody asked me ‘give me some simple steps to great wealth’. I said : You mean? He said: suggest 3 shares which will make me good gains over the next 10-15 years. I said: If […]

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