I started serious Investing Journey in Jan 2000 to create wealth through long-term investing and short-term trading; but as from April 2013 my Journey in Investing has changed to create Retirement Income for Life till 85 years old in 2041 for two persons over market cycles of Bull and Bear.

Since 2017 after retiring from full-time job as employee; I am moving towards Investing Nirvana - Freehold Investment Income for Life investing strategy where 100% of investment income from portfolio investment is cashed out to support household expenses i.e. not a single cent of re-investing!

It is 57% (2017 to Aug 2022) to the Land of Investing Nirvana - Freehold Income for Life!

Click to email CW8888 or Email ID : jacobng1@gmail.com

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.

Think Investing as Tug of War - Read more? Click and scroll down

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, 27 December 2009

Two Bank Accounts? No, You may need Four! - Part 2

Read? Christmas Days Reflections

If you truly wish to stay calm and steady in the world of investing through the volatile stock market. You have to learn to mentally, financially, and physically separate your investment needs from other needs. It is best to confine your investing activities to itself and your other needs are adequately taken care of and have the least dependency on the success or failure of your investment activities.

It has taken me many years to realize the power of separate bank accounts; and knowing that I should have enough to overcome the worst market condition and that really helps me to stay calm and steady in the highly volatile market.

Even if I have extra money at hand, I will evaluate it carefully which account should it go to and not necessary it will go to investment account as expected expenses may change from time to time in our life cycle. I will forecast what are the expected expenses in the next 1-2 years so that I will not get caught in a financial situation that I am forced to liquate my investment at losses to fund these expected expenses.

Read? Why you may need four bank accounts?

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