SriLanka Share Market

Monday, 29 October 2018

Colombo Stock Exchange Trade Summary 29-Oct-2018

Quote for the day

"When an investor focuses on short-term investments, he or she is observing the variability of the portfolio, not the returns – in short, being fooled by randomness." – Nassim Nicholas Taleb

Sunday, 28 October 2018

The 11 takeaways for investors from Max Gunther’s How to Get Lucky:

1. Distinguish between luck and planning

Your investment results have a healthy dose of luck in them. Internalise this so you don’t feel invincible after a good year or question your intelligence after a bad year.

2. Find the fast flowInstead of taking this to mean show up at every investor conference, find meaningful ways to engage with people who apply different investment philosophies.

3. Take risk in measured spoonfulsLearning to invest is like learning to ride a bike or swim. You have to get in there and put small amounts at risk to understand what works for you. At the same time, never with amounts, you can’t afford to lose.

4. Cut runsWhen a stock you own starts rising rapidly because a bunch of favourable factors aligned, don’t target riding it all the way. Be ok with exiting sometime before the peak.

5. Select your luckDon’t let your ego or loss aversion get in the way of sticking with a poor stock even as it declines gradually. Cut your losses.

6. Take the zigzag pathMaybe you have the instincts of a trader. Maybe your skill is in finding obscure micro-caps. Or cyclicals. Or contrarian large caps. Every successful investor is successful in her own way. Explore a little to find your way.

7. Be a pragmatic supernaturalist
Corollary to point 1, sometimes luck overshadows supreme skill. Sometimes you get good results without a good process. Stay humble.

8. Visualise the worst caseAvoid leverage. Size your positions.

9. Stay silent

That urge to tweet about a pick that’s gone up 25% in the last week. Resist it so you can exit the position without feeling like you will lose face.

10. Recognize non-lessons“Stocks fall in election years” / “Stocks rise in election years”. Wrong. “It’s an election year, stocks will be more volatile than usual”

11. Accept an unfair universeThe stock market does not owe you returns. Not even if you first lost money in Satyam and then again in Educomp.

Source: www.thecalminvestor.com

Quote for the day

"When money realizes that it is in good hands, it wants to stay and multiply in those hands." – Idowu Koyenikan

Saturday, 27 October 2018

The Difference Between Winners And Losers

There are winners and there are losers. Human beings, being the competitive and egocentric creatures that we are, can’t help but always compete with each other- even over the smallest things. Competing over petty things is not of importance, but there are times when you need to compete and, more importantly, need to win.

Why do I say need to win? Everyone has goals. Wanting to achieve these goals creates a need that in certain circumstances can be excruciatingly powerful. Some are simple and others are difficult to attain, taking hard work and dedication to achieve.

Whether you are competing against others or competing against yourself, to get to where you want to be, you’ll have to kick someone’s ass, albeit your very own. But how do you win? What is the difference between a winner and a loser- not the given outcome, but what are the differences in character and in their actions? What distinguishes a Winner from a Loser?

The Winner is always part of the answer;

The Loser is always part of the problem.

The Winner always has a program;

The Loser always has an excuse.

The Winner says, “Let me do it for you”;

The Loser says, “That is not my job.”

The Winner sees an answer for every problem;

The Loser sees a problem for every answer.

The Winner says, “It may be difficult but it is possible”;

The Loser says, “It may be possible but it is too difficult.”

When a Winner makes a mistake, he says, “I was wrong”;

When a Loser makes a mistake, he says, “It wasn’t my fault.”

A Winner makes commitments;

A Loser makes promises.

Winners have dreams;

Losers have schemes.

Winners say, “I must do something”;

Losers say, “Something must be done.”

Winners are a part of the team;

Losers are apart from the team.

Winners see the gain;

Losers see the pain.

Winners see possibilities;

Losers see problems.

Winners believe in win-win;

Losers believe for them to win someone has to lose.

Winners see the potential;

Losers see the past.

Winners are like a thermostat;

Losers are like thermometers.

Winners choose what they say;

Losers say what they choose.

Winners use hard arguments but soft words;

Losers use soft arguments but hard words.

Winners stand firm on values but compromise on petty things;

Losers stand firm on petty things but compromise on values.

Winners follow the philosophy of empathy: “Don’t do to others what you would not want them to do to you”;

Losers follow the philosophy, “Do it to others before they do it to you.”

Winners make it happen;

Losers let it happen.

Winners plan and prepare to win. The key word is preparation.
Source: www.elitedaily.com

Quote for the day

"The biggest risk is not taking any risk… In a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks." – Mark Zuckerberg