Circle of competence is an age old concept of value investing, popularized by Warren Buffett. The first time concept of circle of competence gained popularity was when Warren Buffett in his Berkshire Hathaway letter to shareholders wrote: “You don’t have to be an expert on every company, or even many. You only have to be […]
Durable Competitive Advantage: What is it?How to achieve it?
Durable Competitive Advantage, is a fundamental concept of value investing. Investors like Warren Buffett, Peter Lynch and many more have always advocated for the importance of durable competitive advantage as one of the most crucial factor that determines the long term success, sustainability and longevity of a business. As Warren Buffett says: In this post […]
What are Balanced Funds? How They Work? Advantages, Disadvantages, and Who Should Invest?
”Rule No.1 Never Lose your capital, Rule No.2 Don’t forget rule No.1”. There is a widespread myth in the stock market that in order to get higher return, you have to take more risk. Nothing can be far from truth. The secret of making money successfully in stock market is to focus on minimizing the […]
Index Funds: Basics, Advantages, Disadvantages, and Who Should Invest?
Hi investors, in this post we will talk about investing in index funds. Investing in stock market, which was once an option, is now slowly becoming a necessity. With declining interest rates in fixed deposits, which come nowhere close to meeting one’s financial goals, an average person is left with no other option but to […]
What is Contrarian Investing?
”Be fearful when others are greedy, and be greedy when others are fearful” – Warren Buffett The above quote by Warren Buffett sums up contrarian investing in a nutshell, an approach to investing used by some of the most successful investors like Warren Buffett, John Templeton, and Peter Lynch, that has helped them make a […]