Economics has conventionally told us that as prices go down demand goes up - look at what is happening to the stock markets. Prices are going down, but is demand going up? It makes me laugh at times to think how millions of investors behave and I remember when I was very new to the markets, I too would behave in a similar fashion. I made mistakes, but I am glad I made them because I learnt a lot from them.
One thing I learnt is that every once in a way, we investors are given wonderful opportunities and the only mistake many of us make is to let these opportunities pass by, just because people around us are talking about doom.
I keep hearing people telling me how stock markets will hit 12,000 levels and they will buy at that time. The same people start grumbling when the stock markets rise and say "I wish I had bought then." Personally I don't know if stock markets will hit 12,000 levels or will hit 21,000 levels, I don't think anybody really knows it. What I know is that there are companies which are offering wonderful opportunities today. Investing in them today, doesn't mean that their stock prices won't go down in the near term- I always buy into them prepared for them to go down in the short term because I have learnt that investing is not a 'get-rich-quick' game. I follow a simple principle of never investing all my money, so that in case things become cheaper, I can buy more. The rewards from these opportunities will not be instant and you might have to wait for at least 3-4 years, but that is what investing is about. We can't plant a mango seed and expect to have a mango tree within one month. That might be possible if we plant weeds, but not with a tree which will give you and your family fruits for life.
At the moment you need to make sure that you ask yourself a very simple question. Ask yourself "Do I want to lose out opportunities which have the power to change my financial future or do I want to follow the herd?"
I hope that you decide wisely and don't lose opportunities again. You might be knowing about a few of my past investments, if you realize most of them were made when these stocks weren't the talk of town. You will realize that after buying into them, the stock price did go lower and I had to wait for a few years to be rewarded. Once again we are blessed with opportunities and this time I hope all of you make the most of them.
I would also like to thank all you lovely Happionaires for sending me such lovely e-mails, however it is extremely difficult for me to reply to over 200-250 e-mails in a single day. It would be great if you could use the comments section in the blog to communicate and share your ideas and views. I hope you understand and I apologize for it!
Also since it is Father's Day, I thought I will share a wonderful story written by a fellow Happionaire- Gopinath Mavinkurve called Daughters are Forever!
Happy Father's Day and Happy Investing!
Find Out What Happionaires Had To Say About What Needs To Be Done With Inflation