Tuesday, July 31, 2007
Tendulkar crosses 11000 in tests
On Saturday July 28, Sachin Tendulkar in his 139th Test became First Indian and third in the World after Brian lara(11,953) and Allan Border(11,174),to reach the milestone of 11000 Runs in Tests.
Addiction for Future Trading
Basically let me start by explaining what Addiction really is.According to Joseph Frascella of US National Institute on Drug Abuse(NIDA) to the 'Time' magazine recently,"are repetitive behaviours in the face of negative consequences,the desire to continue something you know is bad for you"
So basically this is what happening in small towns and villages where small money lenders , farmers and even labourers try to gamble on commodity market even when they don't know the ABC of the market.Its like the same rush happened in early 90's when uninformed traders tried to put there money in Stock Market in hope of fast bucks and ultimately they got there fingers burnt.
Same is the case for small villages,their are cases when people committed suicide just to escape their debts.
It is always advisable to invest your money in the field where you have knowledge,their is no point going crazy for those red and blue tics on the terminal and losing all your hard earned money.
This is not the case of one or two villages its about whole India.From outside its seem fascinating to enter into market and investing in pulses,gold,silver,crude,etc. But if you don't possess knowledge its like playing cards with your hard-earned money.Even in cities like Delhi, i have seen people doing nothing and sitting on terminal daily and losing their hard-earned money on the calls given by their brokers.They follow their brokers with eyes closed and ultimately suffer. Due to this Addiction not only you, your loved one's also suffer.
ADVICE:DON'T ENTER A FIELD UNLESS YOU KNOW IN&OUT OF THAT FIELD
References used:
*Times Of India
*'Time' Magazine
So basically this is what happening in small towns and villages where small money lenders , farmers and even labourers try to gamble on commodity market even when they don't know the ABC of the market.Its like the same rush happened in early 90's when uninformed traders tried to put there money in Stock Market in hope of fast bucks and ultimately they got there fingers burnt.
Same is the case for small villages,their are cases when people committed suicide just to escape their debts.
It is always advisable to invest your money in the field where you have knowledge,their is no point going crazy for those red and blue tics on the terminal and losing all your hard earned money.
This is not the case of one or two villages its about whole India.From outside its seem fascinating to enter into market and investing in pulses,gold,silver,crude,etc. But if you don't possess knowledge its like playing cards with your hard-earned money.Even in cities like Delhi, i have seen people doing nothing and sitting on terminal daily and losing their hard-earned money on the calls given by their brokers.They follow their brokers with eyes closed and ultimately suffer. Due to this Addiction not only you, your loved one's also suffer.
ADVICE:DON'T ENTER A FIELD UNLESS YOU KNOW IN&OUT OF THAT FIELD
References used:
*Times Of India
*'Time' Magazine
Sunday, July 29, 2007
Magic of Compounding
“Compounding is the eighth wonder of the world.”
- Albert Einstein
Small things leads to big things in life.. and that's very true.
In real life we ignore the importance of small savings which we can make.
let me give you an example
let me take example of my Friend Sandra. He use to have one packet daily of Classic mild. That cost around Rs.50 per packet.
Daily expense=Rs.50
yearly expenses=Rs.50*365=18250
now let us assume he invest this amount for next 25 years:
Instrument Return
Bank 7%
Nifty 15%
Equity 20% (we have to assume.. but these are rational assumptions)
Mutual fund 30% (we may assume.. they do meet their target)
after 25 years:
Bank 18500*{(1.07)^25-1/.07}=Rs.11 70 107
Nifty 18500*{(1.15)^25-1/.15}=Rs.39 36 670
Equity 18500*{(1.20)^25-1/.20}=Rs.87 31 650
M.F. 18500*{(1.30)^25-1/.30}=Rs.4 34 42 861
That's the magic of compounding.. imagine mere Rs.50 per day could fetch you Rs.4.5 crores after 25 years.
Now, i dont think i need to tell.. what we can do with 4.5 crore.. Atleast this is the thing everyone can do...[thinking about ferrari ;)]
Imagine we took the example of meagre Rs.50. We spend more then that...isn't it?
All this looks really easy.. but you sincerely need to make an effort to make it large.
If i give you example from my own life..
In my library i use to return my books after due date,my fine was just Rs.5.. i use to think i can easily pay Rs.25-30 in return i can keep the book..but librarian did not collect anything..i was more happy.. i use to keep books for more longer time.... immediately before exam.. we need to clear-up account.. i had to pay Rs.750. At that time i felt bad as that amount had quite bigger impact on my pocket.
That day i learned
regular saving+earning on savings=a big amount(really big..isn't it??)
- Albert Einstein
Small things leads to big things in life.. and that's very true.
In real life we ignore the importance of small savings which we can make.
let me give you an example
let me take example of my Friend Sandra. He use to have one packet daily of Classic mild. That cost around Rs.50 per packet.
Daily expense=Rs.50
yearly expenses=Rs.50*365=18250
now let us assume he invest this amount for next 25 years:
Instrument Return
Bank 7%
Nifty 15%
Equity 20% (we have to assume.. but these are rational assumptions)
Mutual fund 30% (we may assume.. they do meet their target)
after 25 years:
Bank 18500*{(1.07)^25-1/.07}=Rs.11 70 107
Nifty 18500*{(1.15)^25-1/.15}=Rs.39 36 670
Equity 18500*{(1.20)^25-1/.20}=Rs.87 31 650
M.F. 18500*{(1.30)^25-1/.30}=Rs.4 34 42 861
That's the magic of compounding.. imagine mere Rs.50 per day could fetch you Rs.4.5 crores after 25 years.
Now, i dont think i need to tell.. what we can do with 4.5 crore.. Atleast this is the thing everyone can do...[thinking about ferrari ;)]
Imagine we took the example of meagre Rs.50. We spend more then that...isn't it?
All this looks really easy.. but you sincerely need to make an effort to make it large.
If i give you example from my own life..
In my library i use to return my books after due date,my fine was just Rs.5.. i use to think i can easily pay Rs.25-30 in return i can keep the book..but librarian did not collect anything..i was more happy.. i use to keep books for more longer time.... immediately before exam.. we need to clear-up account.. i had to pay Rs.750. At that time i felt bad as that amount had quite bigger impact on my pocket.
That day i learned
regular saving+earning on savings=a big amount(really big..isn't it??)
Saturday, July 28, 2007
Plan of action
- Mastery in Financial World.(Finance,economics)
- Sharing my skills.
- Get support of faculty.
- Write a Book.
- All these+Hard+Smart work+Will Power=Platform-->Success.
dreamer
Something about myself
Its been hard where i am now days.Life is really busy as i am pursuing my MBA from one of the Schools in India.
A total freak for Stock Market. thats what i Call myself....
it excite me allot..but i made reasonable loss in Stock Market last year.. this year i decided not to get into market. Atleast not without preparation.
Market is really full of bulls and bear. You must know how to fight them or they will ruin you.
So now i am preparing myself for another fight which may start after 2 years time.This time i will take the bull by it horns.
All my efforts will be here on these blogs.. and you will see on these blogs how to make life large.
dreamer
A total freak for Stock Market. thats what i Call myself....
it excite me allot..but i made reasonable loss in Stock Market last year.. this year i decided not to get into market. Atleast not without preparation.
Market is really full of bulls and bear. You must know how to fight them or they will ruin you.
So now i am preparing myself for another fight which may start after 2 years time.This time i will take the bull by it horns.
All my efforts will be here on these blogs.. and you will see on these blogs how to make life large.
dreamer
Introduction to life
Life is all full of dreams... isn't it???
I hope you all will agree with me... and my only reason for posting these blogs is.. that i am chasing my dreams..
we must accept the fact that their is no free lunch in this world..their is nobody for social work here in this world.. unless you are exceptional case like Mother Teresa. Nothing to hurt the feeling of followers,i also respect Mother Teresa allot.
Even i m posting these blogs for my self interest. Their is no point i will read long articles from Financial times or Economist just to make you more knowledgeable.Its that i want to improve my article writing skills,my knowledge about the world.
Accept the fact that nothing comes free.. you have to pay the price for everything.
dreamer
I hope you all will agree with me... and my only reason for posting these blogs is.. that i am chasing my dreams..
we must accept the fact that their is no free lunch in this world..their is nobody for social work here in this world.. unless you are exceptional case like Mother Teresa. Nothing to hurt the feeling of followers,i also respect Mother Teresa allot.
Even i m posting these blogs for my self interest. Their is no point i will read long articles from Financial times or Economist just to make you more knowledgeable.Its that i want to improve my article writing skills,my knowledge about the world.
Accept the fact that nothing comes free.. you have to pay the price for everything.
dreamer
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