STE's Stocks Investing Journey

It’s funny how, in the world of investing, doing nothing is often the most productive thing you can do . We’ve all been there, sitting in front of the screen, watching the red numbers tick down, feeling that itch in our fingers to "do something" to save our hard-earned capital. But if my three decades in the markets have taught me anything, it’s that the market is a master at shaking people out right before the real gains happen. When I look at the long-term charts of the S&P 500 or the total real market returns going back to the 1900s, the message is loud and clear: time is the ultimate filter. It filters out the noise, the politics, and the short-term panics. For a value investor, the goal isn't just to find an undervalued gem; it’s to have the stomach to hold it when everyone else is running for the exits. <Image Credit : redw Advisrors & CPAS > The Erosion of Cash and the Power of Real Assets If you look at the historical performance of different asset c...

The Essence of Being a Contrarian When everyone rushes in one direction, the contrarian quietly walks the other way. This simple yet powerful idea forms the backbone of David Dreman’s classic “ Contrarian Investment Strategies: The Psychological Edge .” Dreman, a legendary Wall Street investor, explored not just the numbers behind contrarian investing but, more importantly, the psychology that drives markets i.e the very emotions that create bubbles, panics, and opportunities. <Ai Image> In this updated version of his work, Dreman reinforces one timeless truth: markets are driven more by human behavior than by pure logic. Investors as a collective are often guided by fear and greed, not by reason. As prices overshoot to the upside in good times and plunge too deeply in bad times, the patient contrarian finds value amid the noise. Reading this book reminds me of why I chose to invest differently , not to follow the crowd, but to think independently, to see value where others se...

 Over the past decade, I've seen an increasing number of people become interested in investing, thanks to low interest rates, a rising tide of financial literacy content, and FOMO (fear of missing out) driven by friends or social media posts showcasing multi-bagger returns. However, while investing can be a powerful vehicle for growing wealth, the hard truth is that stock investing is not for everyone. Yes, we can learn about valuation metrics, free cash flow, dividend yield, or which REIT gives better DPU. We can study ratios like P/E, P/B, or ROE. All these are important, of course. Investing is not only about financial figures. It is just as much, if not more, about managing your emotions and having the right temperament; hence, not all investors are created equal. Let me share why I say so.   Markets Are Not Machines — They Are Driven by People Unlike physics or mathematics, markets are not built on cold, rational formulas. Markets are moved by humans, and we hum...