As from April 2013 my Journey in Investing is to create Retirement Income for Life till 80 years old for two over market cycles of Bull and Bear.

Welcome to Ministry of Wealth!

This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

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Important Notice and Attention: If you are looking for such ideas; here is the wrong blog to visit.

Value Investing
Dividend/Income Investing
Technical Analysis and Charting
Stock Tips

Sunday, 10 April 2016

Where Is The Volality That Is Seriously Affecting Us? Asset Value Or Cash Flow?



Uncle8888's Wealth Formula:

Wealth = Asset Value + Cash Flow


Look at the two images closely!

What is your thinking now?

Should we be seriously over concern about market stock price volatility if we have been managing our cash flow reasonably well enough to meet our liquidity need year after year?
































4 comments:

  1. We all know the people who spend their money from their money's money's money, buy or sell at their own time.
    What's is volatility to them?

    ReplyDelete
  2. CW, just guestimate your cashflow...

    60% from Interest
    20% from Dividend
    10% from Trading?

    Your Interest & Dividend income already meet your min expenses liao. So, profit from trading is a bonus.

    However, why your interest income so high? Too much Cash tie up in CPF and or FD? LOL...



    ReplyDelete
    Replies
    1. Where is Mr. Bear? The Interests to Dividends Convertor. LOL!

      Delete
    2. Mr Bean is still sleeping... likely won't wake in near future. :(

      The QE in US, EU and Japan has prolong the economic cycle.

      Now another dose of Negative Interest rate will even push the economy up further.

      Mr Bean will wake up unless there is a black swan...

      Delete

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