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Tag Archive: Capitalism: A Love Story


Life is uncertain and volatility could be best understood by one’s life, sometimes you are on peak sometimes low. IMG-20160214-WA0004-2Loves, hatred, emotions, excitements, are the various factors that define the volatility of life.

Moving down to markets Volatility is the inherent behaviour of the markets that’s the reason trader makes and loses money.

The markets are volatile so does the life.  It’s important to curb the volatility and see the things from the long-term horizon.  The high tides do not last forever so does the calm sea-shore.

The nastiest thing I’ve ever told anyone (a finance fellow angry with me): “When you have absolute intellectual and more disrespect for someone, the only real compliment you can possible get from his in making him angry”
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First off, I have no idea what is the going to happen on Monday when the market opens.  The market may open ugly. IMG-20160214-WA0003Some sort of corrective action in the market should not come as a huge shock.

Every valid investment strategy goes through periods of under-performance (relative), or draw-downs (absolute). The question is how you deal with it. One key characteristic of frustrated investors is that they jump from strategy to strategy. The first sign of weakness forces these weak hands to jump ship at just the wrong time. In short, following a strategy is easier said than done.

Ben Carlson at A Wealth of Common Sense also notes how our fear of losses, or loss aversion, affects our ability to invest successfully. He writes:

Crashes, corrections, draw-downs, losses, system resets or whatever you want to call them are a feature of the financial markets, not a sign that they are broken. These things have to happen every once in a while for the system to function Continue reading

Well it’s a financial blog. Why valentine day love post??  You can’t ignore love, have been trying to mix the economic functions that can be heart-512x512 blogcalibrated with love.  I will not go on the personal finance or behavioral finance  side but the lure for the occasion provides some liners:-

·         You’re my long-run target; my nominal anchor.

·         I’m going to extraordinary measures to increase your stimulus.

·         I long for you as the economy longs for its long-run maximum potential

·         Her deviations are never standard, her probabilities never mean.  Continue reading

Was thought of sharing this a long back but skipped from my mind . Markets provides lot of learning opportunities and if imagesit is presented in the form of a movie it is more easy to remember. I am sharing some of the best movies that I saw and some quotes :

Most Corrupt Movie About Finance: Enron, The Smartest Guys In The Room
Best Line:I would like to know if you are on crack, if so that would explain a lot. If not, you may want to start because it’s going to be a long time before we trust you again.’ 

Most under-rated Vin Diesl Movie About The Stock Market: Boiler Room
Best line: Seth: What do you mean, you’re gonna pass? Alan, the only people making money passing are NFL quarterbacks and I don’t see a number on your back. Continue reading

Was thought of sharing this a long back but skipped from my mind . Markets provides lot of learning opportunities and if it is presented in the form of a movie it is more easy to learn . I am sharing some of the best movies that I saw and some quotes :

  • Most Corrupt Movie About Finance: Enron, The Smartest Guys In The Room       
  • Best Line: ’I would like to know if you are on crack, if so that would explain a lot. If not, you may want to start because it’s going to be a long time before we trust you again.’ Continue reading
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