On Learning the Basics
My friend who recently inherited a huge chunk of money was advised to participate in stock exchange. She had this funny and embarrassed look on her face while her adviser went on about where she should invest in and what she should avoid. After several minutes, she abruptly and exasperatedly stood up, pulled up a book from her bag, and waved the book’s title to her advisor’s face: How To Trade Stocks 101.
Her adviser, having been effectively cut off from his monologue, looked questioningly at her. My friend slightly chagrined, laughed and said, “I have no idea what you’re talking about. I appreciate your advice, truly! But do keep in mind that I am new to all this and I’d like to know the stocks basics first before I listen to all your advice.” She politely excused herself, and then went home.
Now, that was a clear example of the importance of learning the basics and knowing when to say no. Never jump the gun on impulse, especially if it involves money. Just because something seems good and a lot of people say so, it does not follow that it IS true without verifiable data.
