Gambling in Stocks or Investing in Companies?

Several years ago I was in a training seminar and the speaker, who was an engineer with an attitude, an edge about him, was talking about the properties of concrete.  At one point he got very passionate as he explained how you should never call it “cement”.  In fact, he got pretty irate as he lamented how uninformed people call it cement, emphasizing how cement is only one of the ingredients of concrete and not concrete itself.  He said that this would be the same as calling a cookie “flour” when flour is only one of the ingredients of a cookie and not a cookie itself.

The same idea can be applied to all the investment gurus and everyday people out there who Continue reading “Gambling in Stocks or Investing in Companies?”

Taking the Emotion out of Investing

Even though this is a blog about stock investing, the principles in many of these posts relate and can translate to success in any form of investing in other areas of life:  education, relationships, and so on.  Really, what point is there to becoming a successful stock investor if you can’t also learn things that make the rest of your life better and of those around you?   Continue reading “Taking the Emotion out of Investing”

Invest From A Company’s Point Of View

Two high school friends, Steve Jobs and Steve Wozniak, began building home computers in a garage in the mid-1970s and less than 40 years later the company they started, Apple Inc., became the largest in the world.  An athlete named Kevin Plank started making originally designed, moisture wicking T-shirts in his grandmother’s basement in 1996 and selling them out of the trunk of his car.  He named his company Under Armour.

Whatever the stories of the most successful companies in the world today, however humble or exciting their beginnings, the one common factor Continue reading “Invest From A Company’s Point Of View”

Did You Ride Out The Storm?

A lot has happened since my last post in early October 2015.  Less than a month later, my dad passed away after a 3-year struggle with cancer, but I had been fortunate enough to be able to spend a lot of time with him in those final months.  (As an aside, if a person does not choose to do a lot of reflecting during times like that, trying to ignore the reality of death, then I would argue that he’s missing out on some monumental life lessons.)  So yes, I had to ride out a personal storm, but I also learned and was reminded a lot about life in general. Continue reading “Did You Ride Out The Storm?”

Some Crucial Lessons About Buy-and-Hold Investing

One mantra that everybody even remotely acquainted with investing has heard for many years now is “buy and hold”.  I first learned about it over 20 years ago, but I was too impatient to put into practice plus I didn’t have the right information.  Finally, after ‘seeing the light’ upon learning the right information, Continue reading “Some Crucial Lessons About Buy-and-Hold Investing”

When Is The Right Time To Buy A Stock?

This is one of the two most vexing questions that the stock investor has to deal with.  The other one, of course, wrestles with the right time to sell a stock.  Some investors will struggle more with buying than selling, some vice-versa, whereas others Continue reading “When Is The Right Time To Buy A Stock?”