Muscat: According to AV Manohar, CEO, Wisdom Business and Training Services, who facilitated an orientation session on stock market investments recently 'Be system-oriented, strategy-driven and smart-in-action and this is the secret of success in investment'.
A step-by-step approach towards investment in publicly traded shares of Muscat Stock Exchange was guided to an audience comprising young nationals, finance and accounting professionals, equity analysts and aspiring investors.
'First save and then spend', is a formula of success for rich investors and hence worth emulating. Investment is a wonderful journey and if one steps in at a young age, through compulsory savings every month, he can reach the higher portals of wealth early in life. A great chance of compounding one’s savings through fabulous multiplier effects awaited in this game of skills. 'Make money out of money' is the narrative that comes out in this exciting endeavour. 'Stock returns hedges the inflation' is yet another advantage.
It was emphasised that stock market investment is not as risky as thought to be by many, provided the investor keeps invested in fundamentally good scripts and decides to hold for the long term. 'Buy right; sit tight' is wise advice from equity winners. Researching on fundamentals of the company before investing, arriving at the intrinsic value of the stock, operating with stop-Loss and exiting at the appropriate time are the SOPs for making money in the stock market.
'Invest out of savings and not through borrowing' was highlighted as a matter of caution. Reckless investing without a proper study, greed, fear and following a herd mentality are the destructive forces that should be kept away from the dashboard of investment.
The participants were guided through different aspects of investment such as equity shares, stock market, research on economy, sector and fundamentals of the chosen company, intrinsic valuation of the stock, fixing the target return, buy & sell strategy, investment plan and philosophy. Besides, a touch-up on technical analysis, mutual funds, unlisted companies and bonds enriched the overall investment technique and knowledge of the participants.
The session concluded with a powerful take-home message, 'Knowledge is power; application of knowledge is super power. Login to investment. It may be a small step today but a great leap for tomorrow'.