It's heaven on Earth!
Having been aware of the need to create wealth some years ago, I decided to be financially literate by learning things outside of my profession. After calculating my income minus taxes and inflation rates and projecting it to a number of years in the future, I found that I could not sustain my life style in retirement if what I did was only regular saving in the old bank. Despite my saving affinity, I discovered that the increased saving through compound interest, an amazing factor in itself, would still fall short of my expected financial requirement at that golden age eventhough I would actually not be too badly off.
I love my profession and would not dream of doing something else. I was already thinking how to multiply my income without leaving my profession, at the same time I was not about to do double job or moonlighting. Other income-generating business related to my profession would also be deemed unethical. How then to make money work for me and not me working for money all my life? That question had, inadvertently, brought me onto the road of wealth creation. Apparently the same question was posed by Robert Kiyosaki, the author of the book "Rich Dad, Poor Dad" and look how fabulously wealthy he is now.
I started off with the safe capital protected unit trusts,then progressed to variable priced funds and finally graduated to the risky stock market through purchases of IPOs (Initial Public Offering). At the start of my "adventure", I chose my stocks haphazardly ( listening to rumours etcetera) and due to the then bullish market, I made money regardless. No hotshot fund manager was advising me. Then, one day, I finally grew up after the Asian stock market crash, as one of the companies I invested in was put under PN4 and has since been de listed from KLSE, and what a disastrous loss it was! That financial debacle taught me a lesson. I realise how important it is to know the companies well before you invest in them. I now invest only in those companies with strong fundamentals. I learned to read financial reports. Balance sheet, income statement and cash flow were all Greek to me once.
Lacking in investing skills and engaging the services of financial consultants are a hallmark of a blue collar trader who actually doesn't regard trading as a major source of income and who deals generally with low-risk investments such as mutual funds to get extra income through dividends and bonuses. On the other hand, I have a diversified portfolios and different asset classes and I am not really risk-averse as a blue collar trader is... I like risk as that is where the thrill is.
On reflection, yes I am an investor, on most occasions, I buy and hold stocks ,applying dollar cost averaging and making my money work for me 24/7 . In the meantime I am enjoying doing what I am qualified for... enough for my pocket money.
I love my profession and would not dream of doing something else. I was already thinking how to multiply my income without leaving my profession, at the same time I was not about to do double job or moonlighting. Other income-generating business related to my profession would also be deemed unethical. How then to make money work for me and not me working for money all my life? That question had, inadvertently, brought me onto the road of wealth creation. Apparently the same question was posed by Robert Kiyosaki, the author of the book "Rich Dad, Poor Dad" and look how fabulously wealthy he is now.
I started off with the safe capital protected unit trusts,then progressed to variable priced funds and finally graduated to the risky stock market through purchases of IPOs (Initial Public Offering). At the start of my "adventure", I chose my stocks haphazardly ( listening to rumours etcetera) and due to the then bullish market, I made money regardless. No hotshot fund manager was advising me. Then, one day, I finally grew up after the Asian stock market crash, as one of the companies I invested in was put under PN4 and has since been de listed from KLSE, and what a disastrous loss it was! That financial debacle taught me a lesson. I realise how important it is to know the companies well before you invest in them. I now invest only in those companies with strong fundamentals. I learned to read financial reports. Balance sheet, income statement and cash flow were all Greek to me once.
Lacking in investing skills and engaging the services of financial consultants are a hallmark of a blue collar trader who actually doesn't regard trading as a major source of income and who deals generally with low-risk investments such as mutual funds to get extra income through dividends and bonuses. On the other hand, I have a diversified portfolios and different asset classes and I am not really risk-averse as a blue collar trader is... I like risk as that is where the thrill is.
On reflection, yes I am an investor, on most occasions, I buy and hold stocks ,applying dollar cost averaging and making my money work for me 24/7 . In the meantime I am enjoying doing what I am qualified for... enough for my pocket money.
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