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PostHeaderIcon INVESTMENT 101 – Would you want to lose $20million a day?

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The costs of grounding Qantas is A$20million a day. That is about $SGD26million a day.

1st Question: Would you like to lose $26million a day?

2nd Question: Would you want to own a business that loses $26million a day?

One of the criteria Value Investors look for in a business, is for a business that will not be easily crippled by its labor force. The airline business, unfortunately has a record of workers going on strike.

The key question you should ask yourself regarding the business you want to invest in is if the workers in the business becomes unhappy and want to bargain for more rights, does the business have to bend over to meet these bargains?

If a business is dependant on specialized workers that cannot be replaced easily, the business will have to meet the bargains. Airline businesses depend on pilots and specialized crew. If these workers stop working, it is difficult for the business to get these crew replaced in a short time.

Take a fast food restaurant as a comparison. If Mac Donald’s workers go on strike, will Mac Donald have to bend over and met the request of say, raising their salary?

Given the nature of the business, Mac can relatively easily, get another group of helpers to take over the beautifully systematized business.

All in all, as part of the Value Investing Academy community, we would have avoided the Qantas business all together as it does not passes through the criteria of having easily replaceable labor force.

To make sure you choose the right kinds of business, you need to have the right list of criterias to help you scan the businesses and make the right decision.

In our free workshop, we share the criteria and practice on real live examples. Come join us and you can pick up some gems too.

Click HERE to book a Free Investing Workshop.

To your dreams,

Sean Seah

Master Trainer (Value Investing Options Strategy)
Investment in Stocks Blog
Value Investing Academy – the Warren Buffett Way
http://www.investment-in-stocks.com, http://www.nlpinsingapore.com

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PostHeaderIcon INVESTMENT 101 – Value Investing Video Channel

What is the potential returns when you invest in your financial education?

The answer: Infinity.

Great news for all readers as we have launched our Value Investing 101 Channel

http://www.youtube.com/user/ValueInvesting101

There are great videos uploaded regarding the Value Investing.

Learn more about What stocks to Buy, When to Buy, When to Sell and how to create passive income via the stock market.

Also learn why Value Investing Academy is the 1st and Only Programme in Singapore to be reccommended by Warren Buffet Guru, Mary Buffett.

Do join our channel and facebookgroup (www.facebook.com/valueinvestingacademy) so that you can be fast on your way to becoming a successful value investors just like our community. And do come and join us for our Free Investing Workshop where we can get you started on your journey.

Click HERE to book a Free Investing Workshop.

To your dreams,

Sean Seah

Master Trainer (Value Investing Options Strategy)
Investment in Stocks Blog
Value Investing Academy – the Warren Buffet Way
http://www.investment-in-stocks.com, http://www.nlpinsingapore.com

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PostHeaderIcon INVESTMENT 101 – The 4 Phases to becoming a Successful Investor

Most people want to make a fortune from the stock market but only a few are willing to go through what i call the 4 phases to becoming a Successful (and rich) Investor.

So what are the 4 phases?
The faster you understand and go through these phases, the faster you will see yourself become a successful investor.
1) Believing
The 1st first is to believe that it is possible to make profits from the stock market. When i was studying in school, my teacher told me that “Most People Cannot Beat the Market”. This made me believe that i am not able to do it.
It took me a couple of years before i met a friend who showed me that it was possible and that made me believe that it can be done.
My teacher was not wrong, “Most People” still cannot beat the market, and the reason is because most people did not complete the 4 phases. In fact, most people did not even go through the 2nd phase, which is Educating or Learning.
2) Educating
I was shocked to realise that most people in the stock market do not understand how it works. But this is actually a paradox, because if most people knows how the stock market work, it wouldn’t work the way it does.
The market is irrational and that is because most people in the stock market is irrational. The reason is because most people did not educate themselves to look at the stock market as it really is – a market that sells Business Ownership. Most people (including myself in the past), look at the market for patterns and trends and tried to “feel” its pulse. The fact is that many people tried to do that, but only few are consistently successful. Those successful ones claim to have a system, but interestingly, these systems do not seem duplicable. I am speaking from my own experience because i bought into many of the systems and found that the results had many assumptions and variables. Anyway, there are still some who are successful and that cannot be denied. But for one to be educated in a manner that is duplicable, i.e. produce equallu successful results, i found that the way is really to look at the market for what it is – a market for Business Ownership. Once you understand this and learn how to buy great businesses, your world of investing change permanently.
3) Practicing
I know some people who read great investing books and feel that they have become better investors. But did they? You only learn when you put what you learn into practice. Otherwise, it is only “head” knowledge. You should know by now that if learning and reading alone can make you a great investor, most PhDs will be multi millionaires, but in the end, it is those who take the most action (based on the right education), who receives results.
You got to keep at it. When i started practicing what i learnt, i sweated it out when i see my stocks
prices going up and down. My head told me that the value of my business is not affected by the price, but my heart did not listen.
This gave me some sleepless nights, until i reached the 4th stage…
4) Internalizing
This is the stage where i gain a sense of certainty. I realise that in the world of business, nothing is really certain and there is no “perfect” businesses, but there are plenty of great businesses. Thus, i just settle on buying great businesses that have done well for years and then i live on with my life while the business continues to do what it does – making the shareholder (me), rich and profitable in the process. I sleep well at night and receive my rewards for going through the 4 phases.
In our free workshop, we start our participants on the 4 phases and help them go through a condensed experience to reach stage 4 in a short time.

 

Click HERE to book a Free Investing Workshop.

To your dreams,

Sean Seah

Master Trainer (Value Investing Options Strategy)
Investment in Stocks Blog
Value Investing Academy – the Warren Buffett Way
http://www.investment-in-stocks.com, http://www.nlpinsingapore.com

 

 

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PostHeaderIcon INVESTMENT 101 – The 4 Pillars of the Buffettology

Warren Buffett is the richest investor in the world. You have probably heard of him, perhaps studied him or even dream of becoming as rich as him (or as wise as him).

But have you heard of the following:

1. Benjamin Graham

 

 

 

 

2. Philip Fisher

 

 

 

 

 

 

3. Charlie Munger

 

 

 

 

 

4. John Burr William

 

 

 

 

According to The Warren Buffett Way, these four figures influenced Buffett’s investing methodology and made him one of the richest man on earth. Let me just highlight the key principles these 4 pillars contributed to Buffett’s Value Investing.

1. Benjamin Graham:

Taught Buffett the concept of Mr Market, Margin of Safety, Buying $1 for 50cents.

2. Philip Fisher

Shared the idea of buying good company with earning capabilities

3. Charlie Munger

Buying good businesses at reasonable price is better than buying fair businesses at good price.

4. John Burr William

Discounted Dividend model – giving Buffett a way to valuate a business.

The great thing about Buffett is that he took what he learnt and APPLY them. He turned knowledge into ACTION. So what does this ACTION translate to? It translated to Billions of Dollars.

What he did was he had a base method known as Value Investing taught Benjamin Graham. He kept the basics and continued to improve his methodology. If you can do what he did, you can create the kind of results he created.

The question is… How?

Do you want to know the step by step way to apply Value Investing?

I will share with you how it is used today to create the results that Buffett created.

Click HERE to book a Free Investing Workshop.

To your dreams,

Sean Seah

Master Trainer (Value Investing Options Strategy)
Investment in Stocks Blog
Value Investing Academy – the Warren Buffett Way
http://www.investment-in-stocks.com, http://www.nlpinsingapore.com

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PostHeaderIcon PASSIVE INCOME 101 (Part 1) – HOW YOU TOO CAN BE FINANCIALLY FREE

Dear Friends

Great that you are reading this. Starting from this Part 1, I will share in a very practical way how you can GENERATE PASSIVE INCOME and be financially free.

I was training about 120 airforce personnels this afternoon and when I shared that I could stop work any time and still get paid, most of them stared blankly into space and one of them ask me “How is that possible?”.

Ask yourself these 2 questions – “Do you know what is the inflation rate in Singapore or in your own country?”, “What did you do with your savings after you get your pay-cheque?” & “What is your annual increment in your pay?”, “How much your money working for you in your bank?”

Got your answers? If not, let me share with you some of the data that I have obtained:

1. Singapore’s inflation rose unexpectedly to 5.4% y-o-y in July (vs. 5.2% in June) driven by costlier housing, transport and food.

2. For an average Singaporean, average annual increment is 3%

3. Bank generate annual interests of less than 1% Eg. Fixed Deposits.

Based on the above points, are you making enough money to pay for inflation? NO. If not, what happens to you and your money? The answers are brutal: 1) You become poorer each day because whatever you make or save is insufficient to cover the rose of goods, 2) Your money depreciates across time which means a dollar today will worth less a few years down the road.

Next question – “What are you going to do about it?” & if you are seriously about becoming FINANCIALLY FREE, “How?”

But wait …….. who the HECK IS CAYDEN and why should I be taking his ideas? Read about me:

1) My profile at http://www.mindkinesis.com/index.php?option=com_content&view=article&id=49&Itemid=66 & www.facebook.com/caydenchang.nlp

 2) I am the Founder of Value Investing Academy, the 1ST Value Investing Academy in Singapore with a 1ST Value Investing Programme that is Recommended by Mary Buffett, Internationally Acclaimed Author & Speaker of International Best Sellers such as “Buffettology”, “New Buffettology”, “Tao of Warren Buffett”, “Management Secrets of Warren Buffett”, etc.

3) I AM FINANCIALLY FREE!!!

CONVINCED? Are you READY? Across a few Blogs, I am going to share with you HOW YOU CAN DO IT TOO! 

I am going to share with you all my personal experiences and how you can apply in your real life and these are the SECRETS

SECRET #1 – Poor People Buy Liabilities, Rich People Buy Assets

Look at your what is left of your pay cheque every month. Do you noticed that most have been spent on things like car, mortgages, transport, food, clothing, education, family ….. and the list goes on. So what are things such as Cars, House, Boats, Planes, etc.? These are called LIABILITIES. What are liabilities? Liabilities are things that TAKE MONEY AWAY from your pocket. So is your house a Liability? Ask this question – Is the house paying you or are you paying for the house? You are paying for the house, it’s a Liability. So what makes a person poorer? Every time they get a pay cheque, they buy Liabilities. They more they buy Liabilities, the more the expenses that you have to pay and the poorer they get.

So what do the Rich do? They buy ASSETS. So what are assets. In simple terms, assets are things that PUT MONEY INTO your pocket. So what are examples of assets? I have listed some here:
1) Properties – if they give you some form of rental income
2) Business – Eg. Insurance, Real Estate, Direct Selling (provided you are at the upline), franchises, etc.
3) Books – royalties
4) Education – put to use what you have learnt
5) Stocks/Shares – Capital appreciation & dividends
… and so on.
There is no ‘which one is better?’. It all depends on what is your interest/passion and you are willing to learn that set of skills.

If you constantly and consistently purchase assets, you will have more and more CASH coming in and when these CASH or PASSIVE INCOME EXCEEDS your TOTAL EXPENSES, you are FINANCIALLY FREE or FINANCIALLY INDEPENDENT!

GOT IT?

So how do you get started to generate your FIRST SOURCE OF PASSIVE INCOME?

I am going to share more SECRETS in PART 2 of my BLOG. A SNEAK PREVIEW is available at www.facebook.com/valueinvestingacademy. “Like” us and get 2 Investment EBooks and Our Exclusive Interview with Mary Buffett.

Do come and join us for our free workshop show you how turn this time into the chance of a life time to be wealthy and financially free!

Click HERE to book a Free Investing Workshop.

Cayden Chang
Founder & Director, Mind Kinesis Management International
BSc(Hons), MSc
Lifelong Learner Award 2008 Honouree
Co-author, “Do You Have What It Takes To Be BOSS?”
Join our Fan Page on Facebook at www.facebook.com/valueinvestingacademy
www.nlpinsingapore.com

 

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PostHeaderIcon INVESTMENT 101 – The Best Time to get Rich Safely!

On 5th August, one of the Participants posted an article “Stocks You Can Now Buy Cheaper than Warren Buffett” on our facebook group.

People from Value Investing Academy went into a frenzy as the stock market takes a dip… not because we are fearful, but because we have been trained to move into the market with style in times of such opportunity and since 2008, this has got to be one of the best times.

We went in and bought stocks that are way below what they are worth. Due to depressing news, the market decided to sell great businesses at a discount. When was the last time you could buy Coke (KO) and Walmart (WMT) at only 12 times its earnings??

And really, what has the Government being in debt got to change the way people drink Coke and Buy discount items from a Super Mart??

The answer is that nothing has fundamentally changed for these businesses and the question is what are you going to do in face of such opportunities?

I know what Value Investing Academy Graduates did just these past few days as the market dips. We sang for joy and went in to buy businesses we know are way below market value.

The key difference between us and the rest is merely knowing how to look at stocks as businesses and knowing how to valuate them. These skills made many people ultra rich and is a simple method that allows wealth without worries.

Are you ready to learn these skills so that you can take opportunity of this chance of a lifetime?

Do come and join us for our free workshop show you how turn this time into the chance of a life time to be wealthy and financially free!

Click HERE to book a Free Investing Workshop.

To your dreams,

Sean Seah

Master Trainer (Value Investing Options Strategy)
Investment in Stocks Blog
Value Investing Academy – the Warren Buffett Way
http://www.investment-in-stocks.com, http://www.nlpinsingapore.com
http://www.mindkinesis.com

 

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