{"id":754,"date":"2010-05-05T17:56:52","date_gmt":"2010-05-05T12:26:52","guid":{"rendered":"https:\/\/www.moneyworks4me.com\/investmentshastra\/?page_id=754"},"modified":"2020-02-12T10:11:36","modified_gmt":"2020-02-12T04:41:36","slug":"stock-shastra-1","status":"publish","type":"page","link":"https:\/\/www.moneyworks4me.com\/investmentshastra\/stock-shastra-1\/","title":{"rendered":"Stock Shastra #1: Stock Investing is not Rocket Science!"},"content":{"rendered":"

We said that to make your money work for you, you have to take charge of your own investments<\/strong>. You cannot leave it any more to your Relationship Manager, your Insurance Advisor, your Broker. Sounds threatening?<\/strong> Of course, it does. Let\u2019s see why.<\/p>\n

What is the common mindset?<\/h3>\n

Complete the following sentence using one word. \u2018Stock Investing is _________.\u2019<\/p>\n

What word came to your mind?<\/p>\n

Most likely it will be one of these: Gamble, Risky, Unpredictable, Complex<\/strong>, etc. What do these words make you feel? Do they make you take up stock investing or make you avoid it? Most of us will feel like avoiding it. We are afraid of venturing in it on our own; hence hand it over to \u201cexperts\u201d. However, it is these experts who have constantly blasted us with the myth: ‘You are better off leaving Stock Investing for the experts to handle.’<\/strong> Just have a look at ads of any of the financial products and services; they all say the same thing. Now, if they were all such wonderful experts, how well did such expertise protect your wealth during the crash of 2008?<\/p>\n

What should our mindset be?<\/h3>\n

The test of real expertise is wealth protection in bad times and solid growth in good times. So that, over a longer horizon covering boom and bust, you get attractive growth, say 20% CAGR. Of course there are a few rare, real experts (but you won\u2019t see them on TV every day, predicting the market) who have consistently been doing this. Each Stock Shastra is the distilled wisdom of such rare, real experts. The real Gurus! And from them, here is Stock Shastra #1: Stock Investing is not Rocket Science!<\/strong> Now, how do you feel when you say this Shastra?<\/p>\n

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Sounds too far-fetched? Consider this:<\/strong><\/h3>\n