Some insightful thoughts about Personal Finance and Investing by Tiho Brkan (@TihoBrkan)
11 Part Thread 🧵 👇
Long term perspective.
If you invested at the start of 1987, just before one of the worst crashes of all time...
Held your stocks through the Coronavirus crash of 2020, which is on par with 87...
Held through the Tech Bust & GFC of 2008.
You'd still be up 20X over 33 yrs.
Owning a home is NOT investing in real estate, nor is your home an asset.
Yes, I have an accounting degree.
Yes, I know which side of the ledger it goes on.
Those accounting books are wrong and those teachers are poor.
If it doesn't produce cash flow, it's a liability.
📚 10 Point Book Summary of Gurus of Chaos by Saurabh Mukherjea.
It also includes advice from other Indian money managers
● Sanjoy Bhattacharyya, founding Chief Investment Officer (CIO) of HDFC
● Sankaran Naren, CIO of ICICI
Read every single part of the balance sheet
As per Sanjoy Bhattacharyya, most people tend to ignore things like ‘Notes to the accounts’, contingent liabilities, etc. Just like reading a story, go through every single part, find a flow & try to connect it.
Looking at promoters is as important as looking into the debt of a company. In the words of Sanjoy Bhattacharyya himself, “Character counts just as much as debt servicing ability.” So researching the habits and character of the promoters is very important.