top of page
  • Writer's pictureK

A healthy dose of skepticism

If I had learned anything at all over the last decade of my professional life and investing, it is that banking is a transaction-based business. Year-end performance appraisals are evaluated almost entirely based on the number of deals closed, number of trades made, etc. Not that is not obvious but we subconsciously ignore this when it comes to investing.

Much like brokerage firms, media works pretty much in the same way. Money is made on trades, and indirectly from viewership. The company who provides you with news and updates stays in business not because your knowledge is enriched, but because they are hoping that you will act on that piece of news - making that stock trade, sharing it with someone else who might act on it, and make money from the commissions. Bluntly speaking, these companies profit from the influence they have over their customers, and that has commercial value.


Once you come to understand this, stuff that you read online, you take with a pinch of salt, you analyze and approach it with a healthy sense of criticism (and sometimes skepticism). It will help you make better and well-informed decisions rather than acting on impulse.


"Money is made in the sitting."

Tags

Pinned

Sunday, October 23, 2022

Our lack of understanding in how different countries are being governed are rooted in bias, largely based on what we are familiar with...

Thursday, October 6, 2022

Whenever I approached the close of my financial modelling course, I always did a simple roll-call to call for feedback from everyone in...

Sunday, October 18, 2020

In 1990, a psychologist quoted in the New York Times reported that people “turn on the TV when they feel sad, lonely, upset or worried,...

Thursday, July 23, 2020

IB isn't just about getting through the gruelling late nights and delivering on the number crunching. It was also about the harsh and...

Saturday, July 4, 2020

There’s nothing you should regret in life - all the good things that you have today are a result of everything that has happened....

Wednesday, December 31, 2003

Learning, knowledge and staying up to date with the news and what's going on in the world is your own personal responsibility. The same...

Connect

  • My LinkedIn Page

More

Subscribe to receive updates

Thanks for subscribing!

bottom of page