Updated: Feb 15
It’s 2022 and yet Dilbert strips from the last two decades continue to be pertinent. January has been volatile. We’ve collated a few to get a smile on your face. Have fun reading part 3 of Dilbert’s investing humor.
Junk by any other name would still be junk. Root cause of the Global Financial Crisis, high yield investments in risky real estate are best avoided. Is your advisor showcasing investment options in real estate projects that you have a minimal understanding of? Do you remember that six debt schemes of Franklin Templeton Mutual Fund with assets of around INR 26,000 crore were frozen on 23 April, 2020 after they faced unprecedented redemptions. The schemes were known to invest in relatively risky debt to get high returns.
You know an advisor is looking after your interest if he makes money only from the profits on your investment. Unfortunately that’s rarely the case. Distribution fees paid by mutual funds etc. ensure advisors get paid a percentage of your investment amount irrespective of whether or not you make money.
Stock tips on TV. Stock tips on telegram channels or YouTube. Wouldn’t we all be millionaires if these tips worked? Read our concise stock articles or watch our short stock videos and be your own advisor.
Lure of Stock Options
Margin money is the fastest route to large gains in the stock market. It’s also the fastest way to a large hole in your bank balance. Avoid short cuts. The surest way of making money is to back good businesses, at right entry valuation and wait patiently.
Elders love investing money in the yellow metal. It is considered to be safe, secure and an appreciating investment. However, did you know that gold has generated only ~6.5% returns over the last decade? A good investment avenue in bear markets but is gold really attractive in the long run?