Around a year ago I was having lunch with a hedge fund manager based in
Our discussions were interesting, however he had never agreed with my belief in investing in value and following people like Warren Bufett. He started telling me how I should stop following ‘old fuddy-duddies’ like Warren Buffett and should move ahead with the times. These days it was all about advanced software and formulas which could give almost instant returns.
He was telling me how he was trading very aggressively and easily made a couple of million and how I should join him. I smiled and told him that I’m a simple person who doesn’t understand too well how exactly to predict stock trends in the next few hours and find it easier to look at the stock from point of view of the business instead. Maybe I am not as intelligent as him and maybe I am old fashioned but it has worked well for me. (And certainly very well for Mr. Warren Buffett.)
I like sharing my ideas but don’t like imposing my ideas on anybody. It doesn’t make sense and is a waste of time. If somebody has decided that they know everything that is there to know, nobody can help them. The best way to learn and succeed is to know that we know nothing. There is an entire universe out there and still some of us think we can know everything.
In the world of investing a few people after making some money tend to imagine they are invincible and great. This is the worst thing that could happen to any investor, because it surely means that the investor will end up taking unnecessary risks and end up losing everything. An investor will end up taking loans in hopes of making higher returns, and will end up forgetting the simple basics.
Unfortunately last I heard from this hedge fund manager- his hedge fund had gone bust and things weren’t the same for him. I told him not to worry and tried to motivate and cheer him up. I hope and pray that he gets over what has happened. It is harder for somebody who has seen and been with money to go through such a phase, as they have become to certain privileges- expensive dinners, fancy cars and pricey houses.
Personally I don’t feel too comfortable with too much extravagance, because I always think like an investor. My thought process doesn’t see a lot of value in a fancy car or a designer suit. Thinking like an investor always is very important to bring in a sense of discipline and focus. Before reading balance sheets and investing you need to make sure your outlook and mindset is that of an investor.
Never let ego, arrogance and over-confidence control you- not just as an investor but also as a human being. You will never have internal peace if you are unable to look at everybody around you with love, compassion and understanding. Irrespective of who the person is, he or she can teach you something you don’t know. I have learnt so much from people all around me and I wouldn’t have been able to learn all these wonderful things if I had not spoken to them with a smile.
I would also like to thank all fellow Happionaires who sent me so many lovely e-mails from all across the world after going through our new Happionaire website. Many of you who are based outside
It is really touching and humbling to see such a wonderful response from all of you even before Invest The Happionaire™ Way hits bookstores. It means a lot not just to me, but everybody who believes that life is about doing good, smiling, being happy and that knowledge is truly priceless.