Mon, 25 Jan 2016

During the period 2010 onwards, I have spent a fair number of years reading about Warren Buffett, Charlie Munger, Philip Fisher and a few other investors known for their track record in investing. Two of the main reasons I like these names are:

  1. They were not fed with a golden spoon: they started average or above average but not millionaires.
  2. They are consistent: their methods work for the very long run.

So naturally, I started investing and followed the school of value investing. The market treated me with a chain of mood swings; a lot of times I have made great returns, another lot of times I have managed t...

Sun, 12 Jul 2015

I have always been long Warren Buffett and Charlie Munger. I respect all the work they have done and the basis of this work, the virtues they carry and the unmatched persistence on top of all of that. They invest and they invest big when the price tag is right; this is the philosophy I'm carrying and implementing for my stock market investments, one that I deem fundamental to how I invest money.

While I can't wear their hat with the context of Berkshire Hathaway, I'm quite certain of their investments paying off at a decade-level period. However, one odd investment I currently see in Berkshire Hathaway's p...

Wed, 11 Feb 2015

How much would you accumulate if you earn 20% off your capital annually? That's $20,000 if you start with $100,000. Not so bad.

Now, think of maintaining this over 50 years. The results are just mouthwatering:

It's exponential. That's around $619,000 in 10 years, $3,830,000 in 20 years, $23,730,000 in 30 years, $147,000,000 in 40 years, and a staggering $910,000,000 in 50 years.

The growth isn't that noticeable within a small period of time, however returns after 20 years start to show significant jumps.

The idea behind Value Investing is that you should hold to great com...

Sun, 21 Dec 2014

Looking back at the last 100 years or so, one can notice a pattern in the economic recessions that's been happening over and over again.

Name Start Date Time since previous recession (months)
Great Depression August, 1929 1 year 9 months
Recession of 1937–1938 May, 1937 4 years 2 months
Recession of 1945 February, 1945 6 years 8 months
Recession of 1949 November, 1948 3 years 1 month
Recession of 1953 July, 1953 3 ...