*Official* General Market Chit Chat Thread - Part 2

[Daimon]

Lols, my female friend 25yrs old pte uni, earn $3300. With 2 years experience. Got 1 more NUS FCH starting pay $5k, got invited/head hunted to join capitaland. 4years ago

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What is their internal compounded rate of return? It doesn't matter how much you start. This is more impt.

 

[Daimon]

Those people who compare salaries.
If their salary is lower than others, they say it is just bad luck, the other guy lucky to get the $5k job.
If their salary is higher, they say it is due to their skill.

Sounds exactly like those who compare trading profits.
If they lose money in trading, they say it is just bad luck.
If they earn money in trading, they say its due to their skill.

I am more concern with internal compounded rate of return of these people.


Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.

 

[Sinkie]

I am more concern with internal compounded rate of return of these people.


Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.

So you earning it or paying it?? Haha

 

[Genosis]

Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.

I agree. Compound interest is way under-appreciated in the finance world.....

 

[Genosis]

i hate working hard

burnt out after A levels

just wanna nua all the way to retirement age

More wealth with less work!

 

[Sinkie]

I agree. Compound interest is way under-appreciated in the finance world.....

But instead of compounding interest or compounding dividend, many just use or treat dividend received as passive income to offset expenses ahha

 

[Daimon]

I agree. Compound interest is way under-appreciated in the finance world.....

So they earn $5000 per annual. Two years headstart. That's (5000 x 12 x 2 = 120,000). But usually they invest in stocks that have weak returns around 2-5%. Because these jobs are usually very stressful, most of them will vent their stress on expensive and luxury goods like a car, expensive cafe-hopping or restaurants or visiting prostitutes. Therefore, their internal rate of return is very weak.

 

[Daimon]

So they earn $5000 per annual. Two years headstart. That's (5000 x 12 x 2 = 120,000). But usually they invest in stocks that have weak returns around 2-5%. Because these jobs are usually very stressful, most of them will vent their stress on expensive and luxury goods like a car, expensive cafe-hopping or restaurants or visiting prostitutes. Therefore, their internal rate of return is very weak.

In addition, these preys usually invest in things like DBS-Lehman Bros or CoCo bonds

 

[tiny]

What is their internal compounded rate of return? It doesn't matter how much you start. This is more impt.

What is the base data? First job's salary? If one worked part time after getting a degree and then found a job 3k, of course the rate of return shoots up.

 

[gamerx]

If sete brazil really goes to bankruptcy how

Not sure, not too familiar with these corporate laws, especially not Brazillian ones. I think it also depends on their bankruptcy plans, if they choose to wind down the biz and liquidate their assets to pay creditors, the impact to sembmarine and keppel will be dependent on how high of a priority they are given in repayment. If I'm not wrong, suppliers and biz partners usually come after banks and bondholders, so it's probably not gonna work out well.

 

[Daimon]

So they earn $5000 per annual. Two years headstart. That's (5000 x 12 x 2 = 120,000). But usually they invest in stocks that have weak returns around 2-5%. Because these jobs are usually very stressful, most of them will vent their stress on expensive and luxury goods like a car, expensive cafe-hopping or restaurants or visiting prostitutes. Therefore, their internal rate of return is very weak.

Example: http://www.straitstimes.com/lifesty...rce=Facebook&link_time=1455347959#xtor=CS1-10

 

[Daimon]

What is the base data? First job's salary? If one worked part time after getting a degree and then found a job 3k, of course the rate of return shoots up.

To simplify, we use the first official job.

 

[Genosis]

But instead of compounding interest or compounding dividend, many just use or treat dividend received as passive income to offset expenses ahha

Well, it depends on the age of the person. If he is still young, he should re-invest the interest and dividend as much as possible.

But if he is old and retired, then he needs the dividends and interest to pay for his expenses.....

 

[Daimon]

Well, it depends on the age of the person. If he is still young, he should re-invest the interest and dividend as much as possible.

But if he is old and retired, then he needs the dividends and interest to pay for his expenses.....

Proportion them in 80/20 as a heuristic.....

 

[Red_Cheesepie]

So they earn $5000 per annual. Two years headstart. That's (5000 x 12 x 2 = 120,000). But usually they invest in stocks that have weak returns around 2-5%. Because these jobs are usually very stressful, most of them will vent their stress on expensive and luxury goods like a car, expensive cafe-hopping or restaurants or visiting prostitutes. Therefore, their internal rate of return is very weak.

I only 3.5k. Reinvest all dividends, annualised compounded return is 7.77%. Cannot bring work home so no OT, not stressful cos I love what I'm doing, I see it as a challenge for myself. Not interested in cars, expensive cafe. Interested in photography, watches, new notes, shares, property, and maintaining my mind and body (spend on dental, hair, skin, books, etc). Like that still okay right?

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[Daimon]

I only 3.5k. Reinvest all dividends, annualised compounded return is 7.77%. Cannot bring work home so no OT, not stressful cos I love what I'm doing, I see it as a challenge for myself. Not interested in cars, expensive cafe. Interested in photography, watches, new notes, shares, property, and maintaining my mind and body (spend on dental, hair, skin, books, etc). Like that still okay right?

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It's quite good if you are not full-time investor.

There is way to improve. One option is the Stockbot approach.

 

[Daimon]

It's quite good if you are not full-time investor.

There is way to improve. One option is the Stockbot approach.

Use this benchmark

http://www.1stock1.com/1stock1_777.htm

 

[Daimon]

It's quite good if you are not full-time investor.

There is way to improve. One option is the Stockbot approach.

Warren Buffett style is to buy some stocks that you are very confident will rise. Then increase your bet on it.

 

[Red_Cheesepie]

It's quite good if you are not full-time investor.

There is way to improve. One option is the Stockbot approach.

Not full time investor, cos I'm bonded to work for a few years.. Stockbot approach is what? Full time dividend investing ah?

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[Red_Cheesepie]

Use this benchmark

http://www.1stock1.com/1stock1_777.htm

To beat the index returns?

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