19-07-2011, 10:12 AM
I thought value investing is more about what we understand, rather than we don't understand. there is always something we can't understand, but it does not block the way of value investing on what we do understand.
(19-07-2011, 09:00 AM)Temperament Wrote: [ -> ]And the market seems to accept this stock also?
(19-07-2011, 10:12 AM)freedom Wrote: [ -> ]I thought value investing is more about what we understand, rather than we don't understand. there is always something we can't understand, but it does not block the way of value investing on what we do understand.
(19-07-2011, 11:05 AM)Temperament Wrote: [ -> ]Hmm....
So basically when we have doubts of a company, don't invest.
We invest to the level of our understanding or capability.
And of course, invest only even when the market crash, we can still sleep at night.
But this is where a person's temperament is very important.
They say some people are just not suitable to invest in the markets.
i wonder how much truth is in this belief?
How often we come across such people?
Are people who like to buy high and sell higher fall into this belief?
And when the market crash they will sell everything if there are buyers.
Buy High, Sell Low instead of Buy Low, Sell High.
Can they make money?
(19-07-2011, 11:22 AM)freedom Wrote: [ -> ]Yes, of course, the number one or first thing to be a successful investor is self awareness. In fact in any matters, if you don't know who & what you are then nothing matters. You are already a "goner". Ha! Ha!(19-07-2011, 11:05 AM)Temperament Wrote: [ -> ]Hmm....
So basically when we have doubts of a company, don't invest.
We invest to the level of our understanding or capability.
And of course, invest only even when the market crash, we can still sleep at night.
But this is where a person's temperament is very important.
They say some people are just not suitable to invest in the markets.
i wonder how much truth is in this belief?
How often we come across such people?
Are people who like to buy high and sell higher fall into this belief?
And when the market crash they will sell everything if there are buyers.
Buy High, Sell Low instead of Buy Low, Sell High.
Can they make money?
Each and everyone of us are unique in a way. What suitable for others is not necessarily suitable for us. We should all try to find a way to suit ourselves, rather than worrying about how other people earn/lose money.
(23-06-2011, 05:27 PM)cif5000 Wrote: [ -> ](23-06-2011, 09:09 AM)d.o.g. Wrote: [ -> ]Unfortunately investing IS work. But few people want to acknowledge this. Even fewer want to do the work. But those who do, will reap the rewards.
And when the rewards are not really satisfactory, the easiest excuse is to *handicap* oneself by calling it a hobby!
(19-07-2011, 11:05 AM)Temperament Wrote: [ -> ]Hmm....
So basically when we have doubts of a company, don't invest.
We invest to the level of our understanding or capability.
And of course, invest only even when the market crash, we can still sleep at night.
But this is where a person's temperament is very important.
They say some people are just not suitable to invest in the markets.
i wonder how much truth is in this belief?
How often we come across such people?
Are people who like to buy high and sell higher fall into this belief?
And when the market crash they will sell everything if there are buyers.
Buy High, Sell Low instead of Buy Low, Sell High.
Can they make money?
(22-07-2011, 03:21 PM)KopiKat Wrote: [ -> ](19-07-2011, 11:05 AM)Temperament Wrote: [ -> ]Hmm....
So basically when we have doubts of a company, don't invest.
We invest to the level of our understanding or capability.
And of course, invest only even when the market crash, we can still sleep at night.
But this is where a person's temperament is very important.
They say some people are just not suitable to invest in the markets.
i wonder how much truth is in this belief?
How often we come across such people?
Are people who like to buy high and sell higher fall into this belief?
And when the market crash they will sell everything if there are buyers.
Buy High, Sell Low instead of Buy Low, Sell High.
Can they make money?
Extracts from the book 'The Warren Buffett Way' by Robert G. Hagstrom, page 178,
THE TEMPERAMENTS OF A TRUE INVESTOR
The speculator tries to anticipate and profit from price changes; the investor seeks only to acquire companies at reasonable prices. The successful investor is often the person who has achieved a certain temperament - calm, patient, rational. Speculators have the opposite temperament: anxious, impatient, irrational. The worst enemy is not the stock market, but themselves.
I tend to agree with the above.
(22-07-2011, 02:08 PM)Temperament Wrote: [ -> ](23-06-2011, 05:27 PM)cif5000 Wrote: [ -> ](23-06-2011, 09:09 AM)d.o.g. Wrote: [ -> ]Unfortunately investing IS work. But few people want to acknowledge this. Even fewer want to do the work. But those who do, will reap the rewards.
And when the rewards are not really satisfactory, the easiest excuse is to *handicap* oneself by calling it a hobby!
Hi,
i have a different thinking or take. i have been investing for 23 years. Being not educated at all in a sense (only ITE 2 certified), i find it extremely difficult learning in the beginning. But i am DIY. type because of my practical technical training. At times, i hated it and thoughts of giving up came to my mind throughout my learning process. (To tell the truth, i am here because i am still in the learning process). But i know i got no future for retirement except learning to be a passive business man in the stock market. Therefore i prod on and on till i am here, now.
And only a few years ago, i realised investing in the market can be my lifetime hobby. This hobby will or shall keeps me from becoming a senile old man. i think i have found one of my life callings. A hobby is never a handicap unless you want to compare to a professional or expert. But in investing, any one who makes money is an "expert". Anyone who loses money is a "novice".
Ha! Ha!
(22-07-2011, 04:57 PM)cif5000 Wrote: [ -> ]To make myself as clear as possible, i have been doing investment for so long (23 years) then suddenly a few years ago, i decided to make it a lifelong hobby for me. Now when we say something is our hobby, it's usually mean we enjoy doing it over and over again.(22-07-2011, 02:08 PM)Temperament Wrote: [ -> ](23-06-2011, 05:27 PM)cif5000 Wrote: [ -> ](23-06-2011, 09:09 AM)d.o.g. Wrote: [ -> ]Unfortunately investing IS work. But few people want to acknowledge this. Even fewer want to do the work. But those who do, will reap the rewards.
And when the rewards are not really satisfactory, the easiest excuse is to *handicap* oneself by calling it a hobby!
Hi,
i have a different thinking or take. i have been investing for 23 years. Being not educated at all in a sense (only ITE 2 certified), i find it extremely difficult learning in the beginning. But i am DIY. type because of my practical technical training. At times, i hated it and thoughts of giving up came to my mind throughout my learning process. (To tell the truth, i am here because i am still in the learning process). But i know i got no future for retirement except learning to be a passive business man in the stock market. Therefore i prod on and on till i am here, now.
And only a few years ago, i realised investing in the market can be my lifetime hobby. This hobby will or shall keeps me from becoming a senile old man. i think i have found one of my life callings. A hobby is never a handicap unless you want to compare to a professional or expert. But in investing, any one who makes money is an "expert". Anyone who loses money is a "novice".
Ha! Ha!
Let me try again.
Investment result can be satisfactory or unsatisfactory. It is usually the outcome of the effort you put in. (Agree that luck could play an even greater role.)
The game can have different names. For discussion sake, we call it either a job or a hobby. A job if one puts in a lot of effort and a hobby if it is done leisurely.
Here we get a matrix.
1. Good result - As a job
2. Good result - As a hobby
3. Poor result - As a job
4. Poor result - As a hobby
As I was told and I agreed, if one can achieve (2) he can have my envy.