24 October, 2010

Buy That Share... Now!

A number of studies and statistics categorically prove that investing in stocks can potentially be the highest yielding investment possible.
The aam aadmi is of course an expert at investing in stocks. He knows what to buy, and the perfect time to do so, and the perfect time to sell. He knows where to get the right tips. He understands that the market is rigged in favour of the big players, but he also knows how to beat them at their own game... Or does he?
Fact is, knowing when to invest in what, and when to sell requires a lot of effort and hard work, and you still have a high chance of making mistakes. The system is rigged, but in favour of people whose job it is to buy and sell, people who make an effort to find out the news before you and I know about it, people who employ armies to analyse the annual reports of companies, line by line, number by number.
Does the aam aadmi, do you, have the time and the expertise to do so? Maybe some expertise... but the time? I certainly don't. So, what to do? Certainly do invest, but take the easier route and leave it to the professionals. Go the Mutual Fund route. A good mutual fund will give you decent returns over the long term, and most importantly, your free time is actually free.
That still leaves us with this: There is a wild animal called the Stock Market out there. I know I can tame it. I need to tame it... can't control the urge...