“Ask and it will be given to you; seek and you will find; knock and the door will be opened to you. For everyone who asks receives; the one who seeks finds; and to the one who knocks, the door will be opened. Matthew 7:7-8

15 Nov 2016


Hi  Dear Friends,   It is now almost universally recognized that optimists tend to make more money on the stock market than pessimists.  In a world where share prices tend to move up steadily the pessimist is clearly fighting a losing battle. Historical evidence is heavily stacked against the pessimist, whereas the optimist has history on his side.  Apart from this there are many other advantages that the optimist has over the pessimist.  An optimistic attitude is essential for success in the stock market.  In fact, it is what leads to the winning attitude.

Generally speaking , optimists are difficult to find.  This is because people habitually tend to dismiss good news and accept bad news.  You’ll be surprised to observe how most people tend to accept bad news unhesitatingly and unquestioningly, whereas they have all kinds of reservations and doubts about good news.  Therefore, being an optimist and developing a positive outlook on life is not all that easy as it may look.  You have to be different, and pull yourself away from the general run of people surrounding you.  This is easier said than done.  But if you wish to succeed in the share market, you will have to get rid of whatever pessimistic and positive attitude to life.

The pessimist believes that things will not work out , problems will not be solved, political and economic conditions will grow from bad to worse, companies will go bankrupt, industries will turn sick, corporate managements invariably take shareholders for a ride, stock brokers are unreliable, stock market prices are rigged, stock markets are dens of vice and corruption, annual reports and economic statistics are misleading, and monsoons will fail.  The pessimist  tends to interpret everything negatively .  As a result, he usually lacks faith in the present and future prospects of the economy.  He worries too much and tends to develop an obsessive concentration on dark, uncertain and unfavorable possibilities. This  prevents timely and decisive action – a quality that is essential for investment success.  With such an attitude, the pessimist cannot possibly succeed in making money on the stock market.  In fact, he loses the race for financial prosperity at the starting line itself.

The optimist on the other hand, has a more cheerful attitude.  He knows that Indian industry was here when he was born, and will probably exist when he dies.  He knows that problems do not last forever.  Sooner or later, they get solved and disappear.  He can see growth and development taking place around him.  In short, he has faith and confidence in the country, the economy, corporate managements, stockbrokers, stock markets, etc.  Occasionally, he gets duped, suffers a setback, or comes across a spell of bad luck; but he learns to take these things in his stride and doesn’t allow them to dampen his basic optimism.  He looks around for investment opportunities and is willing to risk his money because he has faith in the future.  If the stock market falls,  he starts buying, because he feels that sooner or later the market will bounce back.  He thinks he can succeed and make money – and he usually does.  Finally he knows that if he is wrong in his main presumptions,  he will have greater things to worry about, and lose more important things than his money.  This is why it is absolutely essential for you to develop an optimistic attitude for achieving investment success in the stock market.

Good Luck.                                                            See You Later. 

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