As from April 2013 my Journey in Investing is to create Retirement Income for Life till 85 years old in 2041 for two persons over market cycles of Bull and Bear.

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

Sunday, 20 December 2015

No Control Over it BUT we may still have some Control over it!

Read? Wealth Formula : Balancing Act!!! (2)

STI is crashing!!!

How can we still stay calm?
Learn from ancient wisdom:
 If you have a worry problem, do these three things:
1. Ask yourself: “What is the worst that can possibly happen?” 2. Prepare to accept it if you have to.
3. Then calmly proceed to improve on the worst.”
(Carnegie 49)

Fully understand wealth formula!

Wealth = Asset Value + Cash Flow

We have no control over the latest market pricing of our asset value; but we can still exercise some control over our assets allocation to ride and survive within our emotional tolerance level for future market volatility. 

Market volatility is part of the Game. We cannot escape from it if we are in the Game; but now with the visibility of rising interests rate from the recent historical low; higher is the way to go. Now, we have some control on how to slowly get out of the Game as higher cash flow from interests will be expected.

Stay Calm!

Falling asset value = falling cash flow?

Not really!
Falling asset value in the volatile market may have little or on effect on our cash flow when we have fairly large capital to ride the market volatility.

Asset value may be falling but rising cash flow from dividends and interests are expected over the next two years if we manage our assets allocation well!

See for yourself on these three images on why he can choose to stay calm!

There is reason in it!


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