So as per your logic, there should be no concept of loan at all. No personal loan, no housing loan, no car loan and no business loan. Well then if there shouldnt be lending we shouldn’t be having deposits too. If there are no deposits and lending, there shouldnt be banks. If there are no banks in the world I wonder how will you ever buy crypto
Also, you are not practicing what you preech. You indirectly dont like the idea of lending, but the first share that you bought is ICICI. And if I am not wrong you are still holding 34 shares of PNB. I quote for your reference
Lets talk about where is the smart money and dumb money. From what I understand smart money flows in the business which are doing well. And you are still holding PNB.
You have mentioned about 95percent losing in trading. Well thats right. And so do engineers. So would I be right in saying dumb students take up enginerring?
I belong to a profession where pass percentage is less than 1 percent and the ones who pass have 100 percent employed. So are these smart or dumb. Smart because they passed or dumb because they chose to take risk of being in the 1 percent.
Risk and reward move in the same direction. Unless you take risk you wont get returns. U are very fond of risk anyways considering the asset class you prefer.
Honestly even I do not understand trading. But there are ones who are doing well.
There are pros and cons associated with all classes of assets, all types of profession. What you call smart may actually be dumb and vice versa. There are many more things which I had to say but nevernind. This should be enough. I rest my case.
Edit:
Now realised @t7support has said something similar. Sadly I didnt even read before replying to you post. Thats how much wrong I found in your post. Having said that, I might be wrong too.
Financial sector - Banks, Loans, Insurance, Security markets etc are the basic foundation on which our nation is built.
Manufacturers, Distributors turn to banks to meet their capital requirements, for which they provide an interest. Those who dont have funds to buy a home or car - borrows to buy.
Infact the only industry that can thrive with the kind of Govt. uncertainties we have is Finance.
Someone with just salary income should never finance car, costly marriage, house and other consumerist items of loans & credit card. Because its basically consumption. Debt should be used to increase productivity. For example, you are a farmer and have land. You made less grain. You took loan for a tractor and other advanced irrigation equipment. You efficiently use the tractor and irrigation equipment and ended up making lot of grains. This is how debt should actually be used.
I am saying debt shouldn’t finance consumption. I am saying this for salaried class(i.e you just have salary as income) Not for business people. Business folks have lot of capital and tangible assets back up but essentially their returns exceed the interest they pay to banks. Its not same for salaried class. I hope this makes sense to you. Only exception would be education loan but that’s very subjective as education itself is a joke these days.
let me give you a nice example of how I used debt to increase my productivity and prosperity. So after college I, like all engg grads failed tons of interview and ended up in a crazy call center. Those days were weird. After failing so many interviews I started looking at industry and saw they needs these IT skills. I was learning crappy aptitude the entire time. So I borrowed Money from my mom and got a 70k laptop & 30k online course. A course like udemy. I took a debt of 1lakh from my mom. I put in effort 8 months created my own project , got a job of 3.2 LPA. I spent many nights working on my skills creating apps and projects of my own and perfected them. 4 years down the line I am sitting at 8.6 LPA now. I paid around 2lac to my mom back. I didn’t borrow money from bank but I hope you understand the context of which I am saying how loans should be used.
Dude give me break . That was 2011, I was in 10th class. I was just 15 years back then. Read the post completely. I made mistakes too I don’t deny that and been stupid too believing stock market and investors are some kinda crazy cult that looks on fast moving numbers on black screens.
The main reason I am holding 24 units is , the capital of 4k is very small. I decided to leave it as it is. Its not hurting me financially and like everyone else fell into value investing. But bottom line is , it is not hurting me financially.
Dude there are lot of insane level of vacancies but we don’t have employable engineers in first place. Its not the fact we have more dumber engineers , its the fact many are not willing to learn skills and just want a degree. @t7support has mentioned it wrongly. Engineering is more practical needs lots of equipment. You need to apply what you learnt. You need bread board, oscilloscope , capacitors etc. You need to apply what you learn which takes another learning curve. The point is majority of colleges especially their curriculum is more class room theory based rather being practical and experimental. Colleges themselves discourage students to do all this because all these are costs. Tuition fees other expenses drain students , with high import fees and stupid customs babu’s(not engineers themselves and read UPSC for entire life) that block shipment of rare electronic equipment from germany and US, where do you think students can shape their skills ? (IMO entire education industry is big scam and is anti education)
Its easy in IT and computers since you only need a laptop but there also you need to put the work , effort to learn and hone skills.
Engineering or trading or getting better in any field requires self discipline, resilience, persistence and patience something which average common folk don’t have. Majority of that goes back to being self responsibility . If you are self responsible you wont be risking more than 2% of account and would stop at 45% drawdown account. There is a lot to talk here about money management and psychology overall.
as rich dad said take calculative risks(reference from rich dad and poor dad book). I agree about risk and reward but one should take calculative risks .
The point is very few come for knowledge and most are after degrees and jobs. If one works well with the college lab passives, actives and equipments he/she sure can become employable. Having a strong foundation knowledge wise is the key. But having this boils down to individual passion and perseverance in our formal academic scheme which is more mark and certificate oriented than knowledge or skill oriented. Teachers memorise text book and spit out in class. Students memorise text book and write exams. Its staggering to find engineering graduates failing at simple application of ohm’s or kirchhoff’s laws.
The best way imo, is to keep a kind of basic derivatives exam(in all 23 languages), some countries have it.
I don’t think there is anyway else to reduce participarion.
We defo need a crackdown on these dumb loss making youtubers like Chooming Chulls
, and all those tip providing services, they give false hope of money.
Should be a rule that to sell any kind of financial service you need to have qualifications/or a +PnL of atleast 12months.
If this happens 99% of the courses won’t exist. And easy money shit won’t be propagated.
I think you didn’t understood what i said i talked about wealth creation. As happenes in USA and Europe people need education about investment. Otherwise people get wrong expectation when they jump in the market suddenly and loose money quickly and they do it just because they see other people getting money from market.
. That was 2011, I was in 10th class. I was just 15 years back then. Read the post completely. I made mistakes too I don’t deny that and been stupid too believing stock market and investors are some kinda crazy cult that looks on fast moving numbers on black screens.