Category: Investment Education

  • The Toughest Lesson in Long Term Investing

    ————————————————————————————————– Dear Investor, I often ask myself why people find it so difficult to invest for the long term in the stock market. There are so many trading and demat account holders in India. But so few who are successful investors. My thoughts on this: 1) The Trading versus Investing approaches These two approaches are so…

  • The Importance of Equity in India

    ————————————————————————– Summary Here’s a short article on the perception of equity, how to start if you are a beginner and my story. This article has also been published on Indiamanthan – LINK Perceptions Ask 10 persons about their opinion of the Indian share market, and you will get the following responses: Gambling Losses Waste of…

  • Great investors and playing cards…

    ————————————————————— On another platform, someone asked the question, Why are many great investors also great card players? It could be Bridge, Blackjack or even Poker. Here are my thoughts on this subject. Investing is similar to card games because: In both you are given a hand (or an investment idea) that can be quite random…

  • The Rationale behind a SELL decision

    ————————————————————————————————————————– With the Indian markets pushing to new highs over the last 6 months, its time to ask a loaded, important, yet difficult question. When should you SELL your stock? I assume here that you are a long term investor. You are growing your equity portfolio from a minimum 3 year perspective and want to…

  • How many mutual funds should I hold?

    ——————————————————————————————————————————– I came across the question on an online forum, and wanted to answer this ….. How many mutual funds should I hold? Let me try to answer your question from several perspectives. Answer from perspective 1: A mutual fund is a collection of direct stock investments with an overall theme and structure. The theme…

  • How The Economic Machine Works

    Dear Reader, Normally I send you a note, ask you to open your wallet and invest in a firm. Today I am going to ask you to invest something more valuable …. your time. This is a beautiful video showing How The Economic Machine Works, takes 30 minutes but very watchable. By Ray Dalio, a…

  • Make Equity Investing less tricky: the JainMatrix Eleven

    I’ve been through a cycle of Education, Corporate life, Jobs and Investing long enough for me to understand the importance of starting Equity Investing early. Once you start earning, and ‘roti, kapda, makaan’ are doing ok, you need to take care of ‘long term wealth creation’. I know that a lot of people wince when…