Debunking the myth of ‘passive investing’


Warren Buffett has gone on record multiple times and stated that if he were to advise his family members or anyone else for that matter about investing, he would very simply tell them to put 90 percent of their savings in a low-cost index fund and the remaining 10 percent in short term US government bonds.

If you happen to think of it a 90 percent allocation in any particular asset class is a risky one. The realm of passive investment vehicles has surpassed a lot of actively managed funds. …

Apple’s upcoming innovation could be a potential threat to Google’s monopoly

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The following excerpt is taken from Apple’s “Think Different” Campaign:

“Here’s to the crazy ones — the misfits, the rebels, the troublemakers, the round pegs in the square holes. The ones who see things differently — they’re not fond of rules. You can quote them, disagree with them, glorify or vilify them, but the only thing you can’t do is ignore them because they change things. …

It’s always a predicament betting against Elon Musk

Image: Business Insider

If there’s anything I have learned in my investing journey, it’s been to ‘not bet’ against Elon Musk. Whenever the skeptics went ‘short’ on Tesla a vast majority of traders had lost money betting this “extraordinary billionaire visionary”.

In short Elon Musk can be compared to a ‘real-life Tony Stark’: “Genius, Billionaire, Playboy, Philanthropist”.

But Dr. Micheal Burry who is well known for his bets against big banks during the 2008 housing market crash has recently gone on Twitter to express his views about Tesla, and this clash of the titans has Wall Street in shackles.

According to a recent…

It’s a predicament that bitcoin continues to surge

Image credit: Cointelegraph

Throughout much of human history, physical money has evolved from tokens connected to goods at warehouses to precious metals to promissory notes and now into paper and plastic notes backed by central banks. In a nutshell, any “legal tender” backed by faith can be used as money.

Ray Dalio, the co-CIO and founder of the world’s largest hedge fund Bridgewater Associates recently tweeted his thoughts on bitcoin and as to why it may not be the “future of currency”.

Any “legal tender” that can be used to purchase or sell other goods is essentially what people can label as a…

The economic principles behind Uber’s success

Image: Freepik

Prior to its IPO, Uber was the highest-valued private company in the world. Its valuation toppled the likes of Airbnb, Lyft, and SpaceX combined. Every day around 15 million rides are taken across 500 cities in 78 countries.

Everywhere from Silicon Valley to the southern tips of Africa to the kangaroo corners down under, your ride shall only be a few taps away.

Uber is so successful because it’s so convenient. Anyone from its vast network of 2 million drivers shall be at your service in the blink of an eye. Open the app and choose a ride. Standard or…

Going above and beyond the statistics paradigm

Image: Business Insider

“Zuckerberg: Yeah so if you ever need info about anyone at Harvard

Zuckerberg: Just ask.

Zuckerberg: I have over 4,000 emails, pictures, addresses, SNS

[Redacted Friend’s Name]: What? How’d you manage that one?

Zuckerberg: People just submitted it.

Zuckerberg: I don’t know why.

Zuckerberg: They “trust me”

Zuckerberg: Dumb f — — s”.

The above conversation is one of many emails Mark Zuckerberg sent out when he was starting out his company “the Facebook.

What started off as a university dorm room experiment is now ready for a coveted leap — turning into a self-proclaimed “fifth estate” revolutionizing the social…

Even experts are prone to mistakes


The 2008 financial crisis seems like a farfetched event to many, yet industry experts and news reporters don’t quite seem to go slow on their skepticism regarding the recent U.S stock market rally.

One such individual who had amassed a massive fortune for his clients as well as himself is Scion Asset Management’s CEO, Dr. Micheal Burry.

In addition to businesses going bankrupt, an asset class that people believed was immune to “default risk” had speculators from all walks of life gamble away their life-savings; simply because a group of investment bankers had bet that the asset class would not…

A key takeaway from the 2007 annual shareholders meeting emphasizes the need for ‘diversifying’ in the long-term

Image: The Street

Warren Buffett has been in the news a lot lately because of his unconventional investing decisions. Although Buffett himself has never been an advocate of market timing, he had ensured his shareholders, adequate risk protection during the past financial crashes.

His business partner, Charlie Munger, who according to Mr. Buffett is one of the smartest individuals he has ever known also made investments outside the US, in particular China, where the risks of corporate governance, shadow banking, and shadow companies have always persisted to be overshadowed by the likes of “fundamental” companies like Alibaba.

Mr. Buffett has always put “America…

Financing the early stages of your startup

Image: Freepik

Startups are the craze nowadays, with every aspirant trying to launch his/her idea into space only to discover that funding will impair their “dream rocket” from launching in the first place.

It's no easy feat.

Idea generation is the easy part. A couple of college graduates or high school dropouts can easily identify a market need and contemplate how to solve it. But even if they did manage to find a solution, building and testing a prototype takes a considerable amount of time and in most cases — money.

Despite that, many young candidates aspire to venture into entrepreneurship. But…

Equity research in a nutshell

Image credit: Finshots

To the average investor, selecting a stock was once a task that daunted them for hours if not days. Analyzing the quality of the company, its asset base, industry position, product viability, and any factor that would deem the product to become obsolete are some qualitative factors one can think of prior to investing their hard-earned money into any particular company.

But the truth is that the multitude of factors that are available at any one point in time is highly susceptible to change: the term used on Wall Street for such cases is volatility.

The range of factors that…

S Ahmed

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