And rest of this post is copied from that interview:
My daughter had saved up a couple thousand dollars, and we had invested in the total market fund.
And it went down.
She started panicking and wanted to sell.
I said, “I’ll make a deal with you. I will guarantee all of your losses 10 years from now if you split all of your gains with me 50/50.”
And she thought about it, and she said, “No, I’m good.”
I got her to think long-term, and she’s never forgotten that. I think that was a good lesson.
PS – I think this example is indeed a very convincing way of making someone realize about the benefits of staying invested for long term. What do you think? How do you convince others about the benefits of long term investing?
Thanks for sharing this Dev. A Great thought to be remembered everything when stock falls.
Glad you found it useful 🙂
Hi dev..I have a query regarding reliance power…Need to know ur opinion on investing in it from current level of 60-62 for a 5year horizon…why i selected this stock is bcoz the govt hv gvn permit for total 4 umpp in whch rpower got 3….Hoping their balance sheet will get improved after posting sasan results,whats ur take or ur opinion…thanks 🙂
Hi Rajesh
Personally I would avoid younger Ambani's any venture, even if it means missing out on few multibaggers. Too many variables in this particular power business.
I totally agree with Stable Investor's views on this.
🙂
But Rajiv my guess is that people might still make a lot of money in times to come on this stock.