Having the BADLY NEEDED Tenacity to Hold My PSEi Related Investments During INEVITABLE Paper Losses

I decided to do a portfolio review, especially because Christmas to New Year is around the corner. I thought about checking my AXA Chinese Tycoon Fund. For the sake of confidentiality, I wouldn't give out the exact loss. I was tempted to sell my AXA Chinese Tycoon Fund (which was at a paper loss, not an actual loss) and go for cryptocurrency. However, after looking at the ghost of Quadriga-CX Crypto Scam made I said, "I need to stick to what Warren Buffett said about the stock market."

Buffett's advice doesn't require an MBA or even a PhD in business administration to understand them. Instead, I was looking at these lessons that Buffett such as:

If I'm not willing to open to own a stock for 10 minutes, I shouldn't think of owning it for ten years! Definitely no day trading for me!
The stock market is a device that transfers money from impatient people to patient people. I have to be more patient as the stock market inevitably corrects itself, unless the Philippines becomes another Venezuela (hopefully not).
Be fearful when others are greedy and be greedy when others are fearful.

Looking at Bill Bakker video above, the real problem is that Bill hasn't been looking at the stock market. The NAVPU of the equity-based investment is determined by the stock market performance. If the stock market is at a bull market, the NAVPU is going to go higher. Given the events that happened, such as the Global Financial Crisis, Baker wasn't thinking clearly. I also wasn't into stock investment in 2008 either. It's sad but true, but business schools never taught students to invest in stocks when it's not rocket science!

I realized that if I sold my AXA Tycoon Fund to invest in cryptocurrency, here's what I'm doing:

The paper loss (which was more than half of the invested amount) becomes an actual loss. The value of the investment is dependent on the PSEI score.
If I moved that actual loss to cryptocurrency, I'm actually putting myself at the risk of regambling, which means I'm going to lose more than I win. Cryptocurrency is gambling, not an investment!
In short, it's a massive opportunity loss to fly from the temporary setback with a professional company, to something that the late Charlie Munger compared to an infectious thing. The figures of speech could almost be taken so literally that every time I think of cryptocurrency, I'd ask myself, "Do I want to get infected by an open sewer?"

It's all about patience once again!

The Idiocy of Typing Anti-FDI Rants Using IMPORTED Devices, IMPORTED Platforms, and IMPORTED Social Media

Bulatlat It's very easy to open Facebook (or any related platform) and find lots of stupidity , right? There have been idiotic comments I find on Facebook such as FDI is this and that. We can find "thought leader groups" such as Alliance of Concerned Teachers, Anakpawis, Anakbayan, Bayan Muna, IBON Foundation, Kabataan Partylist, League of Filipino Students, and Philippine Anti-Fascist League (PH Antifa) who keep ranting about FDI as this and that. I even remember somebody dared to say that FDI caused Egypt to dry up. Ironically, North Korea and Venezuela, two protectionist countries, have very bad pollution problems. I'd blame it that they don't have the money to do a clean-up drive. How can you clean up a polluted river without the right equipment? How can you expect better power efficiency with outdated equipment that keep coughing up, cough, cough, lots of black smoke? All the talks on social media can be very funny. The big irony is that all calls for "...

Get Stuck with EDSA, End Up Like Nokia

Yes, we should never forget what history teaches us. A classmate of mine, back in high school, wrote a simple and blunt essay called "History: A Teacher". I doubt he still has a soft copy, given it was already more than 20 years ago. I'd like to quote Duterte critic Andrew James Masigan wrote this in Philippine Star --something that should remain relevant: I would never undervalue the 1987 Constitution. It dismantled the legal framework of a repressive regime and established the democratic institutions we enjoy today. For this, I am grateful. The 1987 Constitution was crafted with the best of intentions. It sought to put the Filipino first in all aspects of governance and to level the playing field amongst sectors and peoples. But it is far from perfect. It failed to consider the importance of foreign capital and technologies and the stiff competition we would have to face to obtain them. In short, its economic provisions were short-sighted . So despite the Constitut...

It's Incredibly Frustrating to Discuss Economics with an Overspender

Overspending is just bad economics, isn't it? Economics is defined as the following for the sake of a review of high school basics: Economics is a social science concerned with the production, distribution, and consumption of goods and services. It studies how individuals, businesses, governments, and nations make choices about how to allocate resources. Economics focuses on the actions of human beings, based on assumptions that humans act with rational behavior, seeking the most optimal level of benefit or utility. The building blocks of economics are the studies of labor and trade. Since there are many possible applications of human labor and many different ways to acquire resources, it is the task of economics to determine which methods yield the best results. Economics can generally be broken down into macroeconomics, which concentrates on the behavior of the economy as a whole, and microeconomics, which focuses on individual people and businesses. It had me thinking of 2016 wh...

Talking Economics with an Overeating Glutton

Two years ago, I wrote an entry about why discussing economics with an overspender is frustrating . Now, I was looking at certain fat people who say really dumb things about economics. Just recently, I was looking at a certain fat idiot (fortunately, he only has 1K+ followers) who posted on Facebook that not only will the parliamentary system cause the Philippines to become a dictatorship, but he also says that changing economic provisions will cause the Philippines to collapse and the country to fall into the hands of foreigners. I won't name the person out to avoid getting personal. However, the person is apparently very fat and he blames capitalism day in and day out. The person even says that businessmen do nothing and it's the employers that do everything. Has that fat slob ever heard that businesses are run by bosses and that if the bosses do screw up, they're the ones who are the most answerable? The employees are the cogs and the boss runs the cogs. I was looking at...

Social Media Gossipers' Ad Hominems Against Actor Robin Padilla Regarding His Proposal to Remove 60-40

Make no mistake that I didn't vote for Robin Padilla. I feel like I've had enough of voting for celebrities, athletes, and those who I felt are know-nothings in the legislative. However, Padilla recently had his proposal to remove the 60-40 restrictions regarding foreign direct investments (FDIs) . Former Philippine Vice President Maria Leonor "Leni" Gerona-Robredo was even in favor of that amendment. I guess that's why Philippine economist Andrew James Masigan endorsed Robredo. I may have not endorsed Robredo while Masigan remains to be one of my favorite local sources. The news from GMA News Online reveals these plans by Padilla himself: Senator Robin Padilla said he wanted to revise the Constitution to scrap the 60-40 rule on foreign ownership of businesses to accelerate job creation and competition among industries . In a Monday interview, Padilla said the move would attract more foreign investments to support the country’s economic recovery. “Para sa akin mas...

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