Indeed great thought
This depends I think if any SIPer believes in what he is doing is best for him or its a borrowed conviction to get profits
Question is not whether any company would come to a PE of 30 from 55, question is by the time it comes there, how many X times it has increased its profit already, provided it has been a good growth stock
Completely agree. Many experienced investors who are either significantly invested already or have achieved major life goals would do that. For rest, can we afford to stay away from markets for 3-4 years? And that too from an Indian growth market? Just a thought – Peter Lynch also mentioned in one of his books that the power of remaining invested is that if a stock goes up multifold, the majority of its upmoves are in only few probably single digit occasions and if we show the patience at precisely the wrong side on such occasions, then we end up not being part of it…
So, IMO both these virtues are important and entirely different style of investing and one can devise a methodology of extracting the best of both worlds, if possible, by optimal allocation of cash & patiently holding on to it as per our own temperament. One might do well in both these styles as the primary virtue, as rightly said, is “Patience”.
Thanks again for the beautiful though of presenting the other side of patience…
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