Random Thoughts

Feb 13, 2009

I can’t sleep. Funny, but this is one of those few times that I experience having such an ordeal. I’m a person who is the total envy of insomniacs, not to mention normal people. No trouble at all when it comes to that part of daily living. Just put something flat on my back, and I am dead to the world. In fact if sleep could kill (which it could, if you were a chronic alcoholic, or just plain too unlucky, he, he, he) I would have been gone a long time.

However, as much as I would like to, I know that even if I try to count sheep (which by the way would always work for me during restless times-which again I would hardly have any-in both having restless times and counting 10), I would still lay awake staring blanky at darkness not figuratively (this time) but literally because the lights are already off, hehehe. I am very well aware of the cause, but not very willing to share it even in writing, even to people I don’t know and don’t know me back (or should I say, don’t care at all). I have a pride you know, and I intend to keep it in one piece (as much as possible). Let’s just say, I am wondering, and considering of hurting somebody, back. I have a pride you know. Not sure though if it is still intact, on second thought.

And so I decided that instead of wallowing in my own misery, to get up, and do something productive (like earning money, online and offline, in this most unholy hour of the day, oh yes, it is very possible). But I contained myself and settled on something decent and respectable (like watching something biblical). No, (I am not that pretentious), but rather translate my thoughts into words, which at first I thought was not possible. Given that my situation is not inspiration but desperation.

After several minutes, of mulling over emptiness, i came up with randomness, which surprisingly the one which lulled me into sleep. But before I finally submit into unconsciousness, I pondered on one last conscious thought – to confront the person responsible. And deal with an emotion I have so tried to deny and renounce but have so far failed (well at least so far, which by the way, could not take me that far, hehehe, so might as well concede?). Not a chance. Now, that one, not sure If I deliberated on in my wakefulness or in my dreams. Now this, maybe just a product of my imagination. Oh how I wish..... Hehehehe.

Mutual Funds

Now, I'm not a professional investor (yet) nor a successful one (yet). But I know some things about it (at least theoretically) that may help you in your dilemma. I always compare investing to a card game. Part luck, part diskarte. But again, you are fortunate as you have one of the aces of the game-which is TIME.

You are young, and because of that you can attempt to make risks. Because even if you lose money-which is unavoidable (but as much as possible must be prevented)-you can still earn it through your job, other ventures or still through investments-because any investment, in time, will profit.

Again we know that in investment, no pain no gain, and that the riskier the investment, the higher the return. Now, stocks, stock mutual funds (aka, equities), balanced fund (mixed equitiy and bond), bond and money market differ in risk and yield, the first one carrying the greatest risk and profit, and the last one, much like putting your money into time deposit.

For a young investor like you, financial growth is the name of the game. Because again, you can gamble to be aggressive, most financial gurus would agree that stocks and stock mutual fund (aka equity) are the ones more appropriate. However between buying individual stocks or stock mutual fund, the latter is better as playing stocks requires experience. Stock mutual fund, on the other hand, is handled by a fund manager, who pools money from different individuals , then use that into buying different stocks. In effect, this is much safer because it is handled by an experienced person.

Compared to bonds and money market, stock mutual fund will give you a higher yield as this is stock investment. In fact, in terms of revenue and capital preservation, it can even be better than buying individual stocks. Because in a stock mutual fund, there is already diversification (the money is into a variety of stock products that give different yields)-one which you may not be able to do with just your money to invest. The risk of losing money is lesser as lost of one stock may be offset by the gain of another.

So, take your pick.