THIS IS MY 184TH BLOG ON UNDERSTANDING MONEY
TOOLS
February, 2020
A friend this past week mentioned through a
question/statement, “you write blogs on investments”? My answer was “no”.
I write blogs/chapters/tutorials, or whatever you want to call them, for
“you and others on topics of business education and essentials for
investing”. I do not write about
specific investment advice good for the moment. However, you will learn from
historically proven theories, applications, and structures; then in time
through understanding these basic principles, make money.
Let me toss an analogy at you. If you were to buy only one sport coat it would be a blue blazer
and well made. Why, it has never
gone out of style, is accepted throughout and you bought one that lasts a very
long time. It was just as “in” 50
years ago as it is today. This is
the same conservative advice I am rendering through my tutorials. Apply proven principles that don’t go
out of style with good quality stocks, bonds, and businesses. If you want to gamble with stocks that
are based on momentum theory using computers for quick trades, perhaps
companies taking losses and no substance behind them, you might as well go to
Las Vegas and have some fun with your gambling.
The name I chose 6 years ago for blogs is Understanding
Money Tools. I selected
“Understanding” because I wanted to communicate thoroughly, and that to me
meant that you understand what is written. “Money” was selected because with the knowledge and
understanding you should make better selections in your business and investment
decisions, thus make money.
“Tools” was chosen because I related it to other professions e.g. a carpenter
needs a hammer and saw, a dentist needs various instruments, an information
tech person needs a computer. In
business, as well as in life, you need structure, paradigms that succeed,
concepts and mathematical analysis that work in your endeavors.
In my last blog, 183, I gave business advice for
interviews. The advice is as good
today as it was 50 years ago when I started in business.
I will once again say be careful of investments. The tide will turn downward, especially
in non-tangible assets, like stocks.
The government continues to pump billions of dollars each week into the
banks to keep them solvent, and the stock markets. In doing so, we have exceeded $2.5 trillion since the end of
September. (It takes 1,000 billion
to make a trillion, so that’s is a lot of money.) The governments around the world are giving money to banks
so that they can make more loans, thus getting the private sector/individuals
and corporations more in debt. At
some point this false economy will catch up with all of us; it is not a free
market economy. I want you to be
prepared as best as possible with cash on hand to both exist comfortably and
invest when the markets hit lows.
Now, the above is general advice, not specific investment
advice!
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