Psychological Test on Yield

Just For Thinking ....

Psychological Test on Yield


Question 1:

For Fixed Deposit at bank, do you feel very happy to receive Upfront interest payment of X% p.a. one calendar day after placement.


Do you feel so shiok or happy about it!!!


Read? Time Deposit – Upfront Interest???


If you are one of those who feels good or shiok on receiving upfront interest of X% p.a., Uncle8888 suggests that you go up to Bukit Timah Hill next weekends and do some Deep Thought thinking on yield.

Once you have breakthrough thinking on yield, you will be in better shape to appreciate stock dividend yield.


About Yield

There are two yields that you need to seriously understand:

Current Market Yield:

Even when market is not depressed or moody, any Tom, Dick, and Harry, come Monday they will most likely to get it and become income or yield retail investors.

Personal Yield

You have to be very patient. Definitely, you don't smell it on coming Monday.

Next week???

Next month???

Next year???

Only God knows!


Stock Dividends and Capital Appreciation


Next, Question 2 to think about it.

When your stock price does not appreciate much after a few years or in the worst case, it has fell significantly below your initial purchase price. How do you feel good about it?

What is your answer for Question 1 and 2?