In our country, there is lot of good companies, unfortunately, everyone else also knows how good they are and hence, most of the time, their stock prices carry a premium. So what does retail investor like you and I do? Do we pay the premium and cost average our way in? Nope. There is a better way! Equity markets will not always behave in a rational manner. On any given day, the news of the day will drive it up or down – sometimes there is no basis to it. We all know it – it has happened, it is happening, and it will continue to happen. As a long term investors, we always have patience on our side which we can use to our advantage.
Preparing for the Hunt
I haven’t talked to any tiger, but based on National Geographic and Discover Channels, I have noticed that a tiger would never just get up in the morning and go for a kill. Same way you should not attempt to purchase company stock unprepared. Here are few steps. Continue reading rest of this article…

There are many different styles, approach, and methods of investing. Many individual investors focus on trading (swing, positional, momentum, speculation, technicals etc.), while many others focus of investing (value, growth, blend, etc), and still many others on special situations (opportunistic, arbitrages, etc). In addition, there are quite a few individual investors that attempt at combination of trading and investing. Similar to glass being half full or half empty, I believe every style has its own pros and cons’ depending upon in what context one is looking at it. Individuals have to figure out what works best for them.
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