Financent
@Financent8
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📕 Investing & Personal Finance 👥 Spreading Financial Literacy
Joined January 2022
Avoid these 5 investing mistakes : 1. Lack of Diversification: Avoid putting all your eggs in one basket; spread investments across various asset classes. 2. Ignoring Fees: Be mindful of investment fees and costs, as they can significantly reduce overall returns.
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"Silver isn’t “cheap” in absolute terms, but relative to gold and considering its tight demand- supply setup, it still looks interesting. Using a normalised Gold:Silver ratio of 60:1, silver’s fair value sits between $53 and $75 - well above the current price of around $33."
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More than your salary. More than the size of your house. More than the prestige of your job. Control over doing what you want, when you want to, with the people you want to, is the broadest lifestyle variable that makes people happy. – Morgan Housel
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Doing well with money has little to do with how smart you are and a lot to do with how you behave. - Morgan Housel
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Our lives are defined by opportunities, even the ones we miss. – F. Scott Fitzgerald
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It’s good to be optimistic in the general and skeptical in the specific. It’s very dangerous to be pessimistic in the general and optimistic in the specific. – Naval
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It’s good to be optimistic in the general and skeptical in the specific. It’s very dangerous to be pessimistic in the general and optimistic in the specific. – Naval
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5. Focus on Control: Concentrate on what you can influence. 6. Be Patient: Value long-term thinking and wait for the right opportunities. 7. Live with Integrity: Uphold honesty and ethics for lasting success.
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1. Think Broadly: Learn from multiple disciplines to make better decisions. 2. Be Rational: Avoid emotional biases; think critically. 3. Avoid Self-Pity: Take responsibility for your actions. 4. Learn from Mistakes: Use errors as lessons for the future.
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Doing well with money isn’t necessarily about what you know. It’s about how you behave. And behaviour is hard to teach, even to really smart people. – Morgan Housel
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Conclusion "100 Baggers" teaches us that finding the ultimate stock is not just about analysis but also about having the right mindset. It's a journey of discovery, patience, and belief in the power of compounding. Ready to start your quest for the next 100 bagger?
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Lesson 5 : The Investor's Mindset Perhaps the most crucial lesson is about the investor's mindset. Embrace volatility,ignore the noise, and focus on the long-term potential.The path to finding a 100 bagger is fraught with ups and downs; resilience and vision are your best allies
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Lesson 4: The Margin of Safety Mayer advises investors to look for stocks trading below their intrinsic value. A significant margin of safety not only reduces risk but also sets the stage for extraordinary returns as the market recognizes the company's true worth.
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Lesson 3: Management with a Vision Leadership is crucial. Invest in companies led by visionary management teams that are shareholder-friendly and invest their own money alongside yours. Their ability to reinvest profits effectively can drive the company's value skyward.
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Lesson 2: Business Fundamentals Matter Focus on companies with strong fundamentals: exceptional return on equity, free cash flow, and a competitive advantage that’s sustainable. These traits are common in businesses that have the potential to grow your investment by 100 times.
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Lesson 1: The Power of Compounding The heart of a 100 bagger lies in compounding. Mayer emphasizes the need for a long-term outlook. Investing in companies with the potential for great growth over decades means not just picking the right stock but also giving it time to mature
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What Makes a 100 Bagger? Christopher Mayer breaks down the quest for stocks that offer astronomical returns into actionable strategies."100 Baggers" isn't just a book; it's a roadmap to understanding how patience, and a bit of luck can lead to unparalleled wealth creation.
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Lessons from Christopher Mayer's book "100 Baggers: Stocks that Return 100-to-1 and How to Find Them" This book explores the characteristics of stocks that have returned $100 for every $1 invested, a dream scenario for any investor.
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