Quite some time ago, I received an interesting email from an ‘insider’ in the real estate finance industry. His mail is in line with my views on real estate as an investment, but with some disagreements. I have largely reproduced it here with only some edits to be relevant to the present scenario. If you are already financially […]
I have made no secret of the fact that I like both index investing and dividend growth investing, and use both to build my passive income and net worth. My series comparing the two can be found here. For international investing, I prefer indexing and ETFs mainly because of inconsistent disclosure norms, accounting standards and investor […]
Efficiency is beautiful. Nature gives us so many examples. Out of the millions of sperm that try and enter the fallopian tube, only one finally enters the egg. The moment it does, the door is shut for all others around it. No matter how many millions of sperm try, only one can enter. The fertilized human egg […]
“You pay a heavy price in the market for a cheery consensus” says the Oracle of Omaha, Warren Buffett. The nature of human mind to seek out favorable facts, approvals and confirmations in support of what we already want to believe is called confirmation bias. By nature, most of us have a strong confirmation bias because we […]
You may have read several studies that successful long term investing requires the ability to invest efficiently, have enormous patience and faith in the markets to eventually deliver the goodies for your retirement. We also saw in an earlier article, that patience, especially to survive the dog years of investing, is a key requirement. How […]
This is a guest post from Ben Hamlin. Ben is an aspiring financial entrepreneur and avid investor who became interested in learning to earn money at an early age. Ben ultimately hopes to become financially independent through his various investments. Bitcoin and similar cryptocurrencies are getting a lot of attention lately, and with Japan recently […]
Loss aversion defines much of human behavior. We are so worried about the prospect of loss, that many studies show that finding $100 doesn’t give the same joy to offset the pain of losing $100. Some say, it takes as much as gaining $200 to offset the loss of $100. In other words, a loss feels twice as painful than a gain […]
We all have to live somewhere. We also need a roof over our heads. Even before the buy vs. rent argument enters the picture, what’s even more important is the allocation you give to your housing expense as a percentage of your income. The math of compounding works in such a way that the early […]
Today’s post is from Troy Bombardia, who blogs over at markethistory.org. I am a strong believer in learning from successful people, and when it comes to investing, especially from the Oracle that I wrote about. What I like about Troy’s post is that he focuses on the importance of understanding history and the learning’s […]
When Benjamin Davis reached out to me requesting a guest post on his website, I happily obliged. Not because he is a fellow Ph.D. holder, but because he, in many ways, represents the complement of the approach I have taken for my own journey. He is European, and a believer in real estate investing […]