“In the long term we are all dead” is a quote from Keynes. I think the quote is misunderstood by the majority. The same majority who take investment decisions. “In the long term we are all dead” doesn’t mean one should think only about short term profit making.
However, the majority who make investment decisions might have different meanings for the words ‘time’, ‘horizon’ and ‘time – horizon’. If there are different meanings and different mentalities of the majority, the minority mostly are at disadvantage. Minorities include all the majority of population who rely on others to make their investment decisions.
Markets are irrational only in the hindsight. With one closing bell one might not understand the market. One can come to the conclusion that Markets are irrational and identify a potential opportunity only if one has heard more closing bells.
Even if one has all the knowledge in the world, a perfect theory which passed through various scenarios, still one needs money – a substantial amount to get benefitted from the market. Not to mention the word “LUCK”.
All in all, 2025 shall be an interesting year for the securities market. It’ll be an interesting year for that one individual investor who is burning his midnight oil analyzing financial statements of various securities only if he can spot which way the financial wind is blowing and guess how long will it blow?
Viswanath Nishtala's Blog 