Why Share Investors Water Their Weeds and Cut Their Flowers..! - MYREALITY.In, Real Estate, Share Market, Mutual Fund, Insurance
Trending
Powered by Blogger.
Monday, February 12, 2018

Why Share Investors Water Their Weeds and Cut Their Flowers..!


Why Share Investors Water Their Weeds and
Cut Their Flowers..!

Mr. Rahul Shah, editor of Microcap Millionaires and Profit Velocity.
For the last 4 years, Mr. Rahul has beat the Sensex by 2x. But will he be able to repeat this success in 2018?
Three things Mr.  Rahul does not worry about is where the Sensex will be in 10 years, meeting management teams and following India's "super investors." 
He believes you can learn everything you need about a stock by looking at the numbers.
The #1 valuation tool he uses for a specific stock is price to book value.
As a general rule, when you invest in stocks when the Sensex is selling for 18x P/E (price to earnings ratio) you will do well.
But invest in stocks when the Sensex is selling for 22x P/E and you typically do poorly.
In other words, buy stocks when they are cheap.
Another rule Mr.  Rahul advocates is giving investments a performance deadline. Selling a winner is easy, but investors hold onto losers for far too long.
You're supposed to "water your flowers and cut your weeds", but many investors do the opposite because they're scared of taking a loss!

From Equitymaster Conference 


Why Share Investors Water Their Weeds and Cut Their Flowers..! Reviewed by S. Chitra on February 12, 2018 Rating: 5 Why Share Investors Water Their Weeds and Cut Their Flowers..! Mr. Rahul Shah, editor of  Microcap Millionaires  and  Profit Velocit...

No comments:

Google+ Followers