I was talking to a friend of mine, and she asked me the question: why don't you attend investment seminars? Here's what I told her:
It has become a fad to organize investment seminars, lectures, and workshops where the organizers bring in some of the well-known people from the investment industry and ask them to talk. Twin benefits there: The talkers earn, and the organizers earn more. What a scheme there.
I really don't like anyone charging money to others in the name of giving investment advice. I have made it quite clear here, here, and here. They are such a bunch of assholes that I am not surprised, but have to despise them for what they do. If they had any shame and self respect, they would be taking up an honest job to pay their bills. Heck no, they like to loot people who are naive, ignorant, and probably greedy too. Then it becomes easy for the talkers to actually extract from them.
I don't care attending seminars and workshops even if coming from the best of the investors, especially if it costs. I like to learn investing because I want to make money, and my idea of that is simple: read and observe; that's about it. Even the markets teach us periodically; even if its lessons are repetitive, they carry meaning and require timely reminders. There are news and factual stories about businesses, business managers, investors, traders, and so forth everyday. I make it a point to read at least some of them. There are quarterly and annual reports from businesses to read. There are business and investment books although I don't like to overpay, for there are enough of them available at cheap prices. There are plenty of free and cheap sources to learn. Everyday, there is something to learn. So a learning mindset is more important than listening to crap stories that are to be paid for.
Here's why it is so easy to make reasonable amount of money by not paying a dime.
For the average US investor
Select a low cost, diversified equity index fund (S&P-500 is good enough), and throw cash into it each month. Do this for more than a decade, preferably for two decades, and you will be good.
You will be better off than most of the money managers out there trying to beat their trumpet; they will struggle, but you will be fine.
You will be better off than most of the money managers out there trying to beat their trumpet; they will struggle, but you will be fine.
For the average Indian investor
I have 3 options for the investor; choose any, but stick to it for a long time.
Option1: Select a low cost, diversified equity index fund (Nifty-50 is good enough), and throw cash into it each month.
Option2: Select a low cost, diversified equity index fund, a large-cap equity mutual fund, and a mid-cap equity mutual fund. Preferably select funds from different, reputable organizations. Throw cash in the ratio of 40:40:20 in these 3 funds each month for a long time, and you are done.
Option3: Select a low cost, diversified equity index fund, 2 large-cap equity mutual funds, a mid-cap equity mutual fund, and a multi-cap equity mutual fund. Preferably select funds from different, reputable organizations. Throw equal cash in these 5 funds each month for a long time, and you are done.
The above is a no-brainer strategy, but has the power to beat many of the money managers. More importantly, you will be able to earn returns better than alternative opportunities and will have enough to be happy, although happiness is a relative term.
For stock pickers
It is a different story for the stock pickers. But, what is certain is that even they don't need seminars and workshops. Seriously, I find the talks quite boring and also unnecessary to mankind. Most of these talkers earn through other people's cash; so imagine, how pathetic their ideals are and ideas will be.
Investment seminars and workshops
Shun them, abhor them, mock them, for they deserve it. You and I do not need them. If you want to have some laughs on comedy, attend that are available free of charge. But then remember, your time is valuable. If they cost a dime, you know what I mean, you have a reason to chuck them. All I can say to end is, caveat emptor. They are all there to loot you, be careful.
Option1: Select a low cost, diversified equity index fund (Nifty-50 is good enough), and throw cash into it each month.
Option2: Select a low cost, diversified equity index fund, a large-cap equity mutual fund, and a mid-cap equity mutual fund. Preferably select funds from different, reputable organizations. Throw cash in the ratio of 40:40:20 in these 3 funds each month for a long time, and you are done.
Option3: Select a low cost, diversified equity index fund, 2 large-cap equity mutual funds, a mid-cap equity mutual fund, and a multi-cap equity mutual fund. Preferably select funds from different, reputable organizations. Throw equal cash in these 5 funds each month for a long time, and you are done.
The above is a no-brainer strategy, but has the power to beat many of the money managers. More importantly, you will be able to earn returns better than alternative opportunities and will have enough to be happy, although happiness is a relative term.
For stock pickers
It is a different story for the stock pickers. But, what is certain is that even they don't need seminars and workshops. Seriously, I find the talks quite boring and also unnecessary to mankind. Most of these talkers earn through other people's cash; so imagine, how pathetic their ideals are and ideas will be.
Investment seminars and workshops
Shun them, abhor them, mock them, for they deserve it. You and I do not need them. If you want to have some laughs on comedy, attend that are available free of charge. But then remember, your time is valuable. If they cost a dime, you know what I mean, you have a reason to chuck them. All I can say to end is, caveat emptor. They are all there to loot you, be careful.
No comments:
Post a Comment