The possibilities to let your money work for you are endless. I myself prefer to invest in stocks for different reasons. One is, it’s great for professionals and quite easy for small investors. I prefer to invest in stocks. I do it for nearly 35 years now. But being an investor could mean a lot more, i.e. investing in real …
Why investment mistakes are no mistakes at all?
Private investors are lagging far behind the return of the overall market. The reasons are worth discussing. According to a study, private investors are lagging far behind the return of the overall market. While the market achieved an annual return of 8.7%, the return on the portfolio of private investors was only 3.1%. This I have read in a German …
Charlie Munger – The Architect of Berkshire Hathaway
“He told me – correctly! – that I had made a dumb decision in buying control of Berkshire. But, he assured me, since I had already made the move, he would tell me how to correct my mistake.“ – Warren Buffett (Warren Buffett in the 2023 Berkshire Hathaway Inc. Annual Report)
Excess Return with Minimized Risk
It‘s a common belief that the higher the return one wants to achieve, the higher the risk one has to take. But that‘s not always true. Investing is risky. There is no such thing as to invest with no risk. Even so-called risk-free investments like government bonds inhere the risk of losing all your money. States can go bankrupt as …
Gold is not a safe haven!
Gold – what a facility! A safe haven for our hard earned money. The only viable currency in times of crisis. And crisis is always somehow. And it also looks beautiful when it shines so brightly in the sun. This beloved metal does not look any better than that. Because “gold is only once meaningless” as Andreas Beck, founder of the …
How I lost 98% of my Investment!
No-one wants to lose money. It is tough and painful to see your hard earned money shrivel away. When investing, you want your money grow. You want high returns and sometimes you want to be better than the others. But it can also be different – very different! Then you are firmly convinced about making the big money, but in fact you …
Valuing Companies – Three ways
Valuing a company is one of the most important tasks an investor has to solve. Buying an overpriced business all too often leads to massive losses. But how to value a company? Valuing a company is difficult and associated with a lot of work. When I’m sneaking around social media and read about investments young investors make, I often discover …