Investor know thyself first

If the readers of this book intend to invest in shares, they should first ask themselves the following questions:. (a) Can I afford to have my savings tied up for a long period of time, maybe for years? (b)) Am I willing to accept the…


Regular Income VS Capital gain

An investment usually produces a combination of a regular income and a capital gain. Different types of investment produce different combinations of these two types of return to the investor. Some investments produce only a regular income without any capital gain; for example, fixed deposit….


Investment can be illiquid

Based on the fact that people in general prefer the more liquid investments, the law of supply and demand will mean that in general, the more liquid is an investment, the lower is the return that an investor can expect to get. Thus, current account…


What is an Investment?

Investment is a word that is so regularly used that few people bother to think about its exact meaning when they use the word. And yet, investment is a word that is very difficult to define. Indeed, in the course on investment management which is…


What is Stock Market Investment?

The fundamental approach to investment requires an investor to buy only a share when its market prices is well below its intrinsic (or real)Value and to sell a stock when its price is well above its intrinsic value. There are of course many who do…