Key Points from Book: Learn to Earn

It’s not just how much money you make that will determine your future prosperity. It’s hiw much of that money you put to work by saving it and investing it

A person who owns property and has a stake in the enterprise is likely to work hardwr and feel happier and do a better job than a person who deosn’t

Every couple of decades, the economy broke down and people would panic and rush to the bank to rescue their money, most of which had been loaned out. The banks couldn’t possibly pay back all their depositors at once, so they collapsed. Once the bank collapsed and entire communities were left without money, all sorts if business would fail, and the financial system would go into the tank. The stock market would crash, and so would the bond market, because the organizations that issued the bonds couldn’t make the interest payment

Competition is the key to capitalism

All the gains in stock market went to a small group of people who eren’t afraid of stocks and understood that the benefits far outweighted the risks

Everytime you are making a purchase, imagine how much the money will be if the money is invested instead

Instant gratification is the enemy for people to invest, they prefer looking rich and comfortable rather than planning the future

It’s ok to pay interest in a house or an apartment, which will increase in value, but not on cara, appliances, clothes, or tv sets, which are worth less and less as you use them

Save as much as you can! You’ll be helping yourself and helping the country

You can be genius at analyzing which companies to buy, but unless you have the patience and the courage to hold on the shares, you’re an odds-on favorite to become a mediocre investor. It’s not always brainpower that separates good investor from bad, often, it’s discipline

Be careful in letting your emotions get the better of you, and you forget the reason you bought stocks in the first place, to own shares in good companies

Stocks have outperformed bonds in eight of the nine decades in this century

Some investor make a hobby of switching from one fund to another, hopping ro the bandwagon of the latest hot performer. This is more trouble than it s worth

Letting your emotions go up and down in sympathy with stocks can be a very exhausting form if exercise, and it doesn’t do you any good

If earnings continue to rise, the stock price is destined to go up. It may be not go up now, but it will

In starting new business, they choose excitement over the security of a regular paycheck. It’s not wnough that they invest all their money in the project. They must also work long hours and invest most of their time

Patience is a virtue, but it’s not well rewarded when you own stock in a company that’s past its prime

Friendly takeover vs hostile takeover in acqusition of other company

Lives quitely and avoids press are phrases that appear frequently in the descriptions of the Forbes 400

Find something you enjoy doing and give it everything you’ve got, and the money will take care of itself


About Journeyman

A global macro analyst with over four years experience in the financial market, the author began his career as an equity analyst before transitioning to macro research focusing on Emerging Markets at a well-known independent research firm. He read voraciously, spending most of his free time following The Economist magazine and reading topics on finance and self-improvement. When off duty, he works part-time for Getty Images, taking pictures from all over the globe. To date, he has over 1200 pictures over 35 countries being sold through the company.
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