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The Truth of Successful Investing is in 'Seeing' The Big Picture!
Majority of the investor's out there can never allocate a time frame for their investments. Everyone wants to make short-term gains. However, not everyone knows that the truth of successful investing is in seeing the BIG picture.
Experience has shown that people who invest in stocks for short-term gains generally think of those investments as long-term when they do not perform as expected - to justify their losses. Losing money hurts their ego (what will they think of me?) hence they invest more good money on bad investment. Such investors do not live their own life. Opinions, of friends, relatives, and family members, are the central theme of their life.
Purchasing an asset is defined as buying into an investment that is expected to generate a profit. The key word here is 'expected to'. Successful investors have a total understanding, at a deep psychological level, of their intention and purpose for investing.
Once the intention and purpose of investing has been understood at a psychological level then 'making money' as a purpose for investing is replaced by growth. Increase is one of the laws of nature. Therefore 'growth' is and can be the only purpose for investing.
Growth happens only when you see the big picture. So, what is the big picture?
The big picture is what you see when you look at the overall performance of a company over a 5 to 10 year time frame. Fundamental analysis gives you that big picture. If you can answer the following questions about the company whose shares you own then have seen the big picture and are a successful investor.
What has been a company's return on equity over the last 5 to 10 years?
How well has it been able to avoid debt?
Have the managers been able to convert sales into profits?
Has the management increased shareholder value over time?
Has the company consistently increased owner earnings?
Most people consider this approach suitable only for long-term investors. Research has proved that long-term investors are the only investors who have consistently made money over time. The best part is that they have shown short-term profits in their long-term holdings. Successfully managed companies will always have their success reflected in the value of their share in the stock market.
Investment requires - time, emotional commitment, understanding risk, your capability, and ability to make decisions - a growth mindset. I can help put your investments on the path of increase. I have put in a lot of time and effort in improving and fine-tuning my skills in stock selection and using a time-tested trading system and have reached a stage where I feel it time to share these skills with you.
Let's discuss this on a one to one basis at your convenience. Give me a call on my mobile phone in Singapore on +65-96672204 .
Infinite Patience Produces Immediate Results!
Experience has shown that people who invest in stocks for short-term gains generally think of those investments as long-term when they do not perform as expected - to justify their losses. Losing money hurts their ego (what will they think of me?) hence they invest more good money on bad investment. Such investors do not live their own life. Opinions, of friends, relatives, and family members, are the central theme of their life.
Purchasing an asset is defined as buying into an investment that is expected to generate a profit. The key word here is 'expected to'. Successful investors have a total understanding, at a deep psychological level, of their intention and purpose for investing.
Once the intention and purpose of investing has been understood at a psychological level then 'making money' as a purpose for investing is replaced by growth. Increase is one of the laws of nature. Therefore 'growth' is and can be the only purpose for investing.
Growth happens only when you see the big picture. So, what is the big picture?
The big picture is what you see when you look at the overall performance of a company over a 5 to 10 year time frame. Fundamental analysis gives you that big picture. If you can answer the following questions about the company whose shares you own then have seen the big picture and are a successful investor.
What has been a company's return on equity over the last 5 to 10 years?
How well has it been able to avoid debt?
Have the managers been able to convert sales into profits?
Has the management increased shareholder value over time?
Has the company consistently increased owner earnings?
Most people consider this approach suitable only for long-term investors. Research has proved that long-term investors are the only investors who have consistently made money over time. The best part is that they have shown short-term profits in their long-term holdings. Successfully managed companies will always have their success reflected in the value of their share in the stock market.
Investment requires - time, emotional commitment, understanding risk, your capability, and ability to make decisions - a growth mindset. I can help put your investments on the path of increase. I have put in a lot of time and effort in improving and fine-tuning my skills in stock selection and using a time-tested trading system and have reached a stage where I feel it time to share these skills with you.
Let's discuss this on a one to one basis at your convenience. Give me a call on my mobile phone in Singapore on +65-96672204 .
Infinite Patience Produces Immediate Results!
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