3) Saying "be greedy when others are fearful" is much easier than actually doing it when the opportunity arises.
4) The market doesn't care how much you paid for a stock or what you think is a fair price.
5) Not a single person in the world knows what the market will do in the short run.
6) Being emotionally detached from your stocks will save you from a lot of blunders.
7) Retail investors tend to be pessimistic and optimistic precisely at the wrong times.
8) Most IPOs will end up burning your money as people
with more information than you, want to sell to you.
9) A 20% loss requires a 25% gain to get back to even, but a 50% loss requires a 100% gain and a 90% loss requires an astounding 900% gain — just to get back to even.
10) Several famous investors whom we call "gurus" have barely beaten an index fund over their careers.
11) The more comfortable an investment feels, the more likely you are to be slaughtered.
12) During recessions and Federal Reserve meetings, most people turn overnight "economists" and become certain about things they know nothing about.
13) Instead of trading derivatives, intraday, or penny stocks, just light your money on fire.
14) The gap between a great company and a great investment can be miles apart.
15) Don’t worry if you don't understand a large bank's balance sheet. The people running it don't know either
16) The more someone is on TV, the less likely his or her predictions are to come true.
17) The best investors in the world have more of an edge in psychology than in finance.
18) What markets do in short term is overwhelmingly driven by randomness.
19) Stop trying to predict the short-term NIFTY movements or believe in someone who claims to do the same.
20) Thirty years ago, there was one hour of market TV per day. Today, there are upwards of 18 hours. What has changed isn't the volume of news, but the volume of nonsense.
21) An experienced fund manager can underperform the market for an entire career.
22) Professional investors have better information and faster computers than most people. You will never beat them in short-term trading. Don't even try.
23) There will be 7 to 10 recessions over the next 70-100 years. Don't act surprised when they come.
24) Professional investing is one of the hardest careers to succeed in, as it has low barriers to entry, it creates masses of "experts" who have no idea what they are doing.
25) When someone claims to get rich quick only based on charts, run away.
26) Explaining each short-term move is like trying to explain lottery numbers.
27) The phrase "double-dip recession" was mentioned 1 Crore times in 2010 and 2011, according to Google and it never came.
There were almost zero mentions of "financial collapse" in 2007, It did come.
28) The low-cost index fund is one of the most useful financial inventions in history. Boring but beautiful.
29) The most boring companies -- toothpaste, food, nut bolts -- can make some of the best long-term investments.
30) Investments that offer little upside and big downside outnumber those with the opposite characteristics at least 10-to-1.
31) 30 years from now the NIFTY 50 will look nothing like it does today. Companies die and new ones emerge.
32) In the markets, many times fear can be a much stronger force than arithmetic.
33) If you fall in the 30% tax bracket, you work 4 months in a year for the Government and the rest 8 months for yourself.
35) If you have any kind of debt and you are thinking about investing in anything, please stop.
36) In the markets, you’re respectable, if you’re right 6 out of 10 times. You’re never going to be right 9 out of 10 times.
37) There is barely any accountability in the financial gurus who come on TV and encourage trading.
38) Just High income will not make you wealthy, saving and spending responsibly will.
39) Time Is Much More Valuable Than Money. I truly believe this & I have experienced in my personal life too.
40) In expert tennis, 80% of the points are won, while in amateur tennis, 80% are lost.
41) The same is true for investing: Beginners should focus on avoiding mistakes, and experts on making great moves.
42) Markets go through at least one major pullback every year, and one giant pullback every decade.
43) If you want to survive in the stock markets, kill your losses first.
44) You would be a much better investor once you start thinking in terms of 5 years rather than 5 weeks.
45) The next recession is never like the last one.
Thank you
🙏
