I read the Straits Times newspaper on weekends. The paper on saturday is usually thicker than other days. It means has more content, besides the news and ads. There’s a special section like Saturday which comments on current local issues and on Sunday, there’s Invest. I picked this up from the front page of Straits Times Recruit section on June 14, 2014.
Mr Buffet’s 5 investment rules
- “Rule No. 1: Never Lose money. Rule No. 2 Never forget Rule No. 1.”
Spend wisely. But only on what you need. Ask yourself if you can save the money without compromising on value.
- “Don’t save what is left after spending; spend what is left after saving.”
Save for a rainy day. Put money aside for your future goals and risk after you receive your pay, and see how you can invest it.
- “Life is like a snowball. The important thing is finding wet snow (opportunities) and a really long hill(long term)”
Like what Mr Buffet learned in his youth, success and wealth takes time. Make money by keeping a diversified investment portfolio, and waiting for it to bear fruit.
- “You really don’t need leverage(borrowed money) in this world much. If you’re smart, you’re going to make a lot of money without borrowing.”
You will never become rich if you have to keep paying back what you earn.
- “Risk comes from not knowing what you’re doing”
The biggest risk have the biggest payoff. Just make sure you know the rules before you play the game.
A worthy note to self.