Roles of Education to Investment Success

I have received a comment from Bhupu, a Moneyhacker reader as well as a beginner investor, under an earlier posted article ‘Road to a Successful Investor”. Here what it says: “Actually I have an interest on investment but i don’t have good knowledge about it..Is there anyway one who can give me a good advice about the knowledge required for successful investor,,. I wanna take a class but I’M in dilemma which subjects to choose ,,I really don’t know … plz I wanna appreciate your great help..” I have well, posted an immediate reply to this loyal reader with some information that any beginner investors really required.

I thought he is a reader may have left the blog after reading some article and adding above comment. But, I was wrong at that point. He have added another comment as the continuation of mine which went this way,

“Well thank you very much Sherin… so I should not need to do any MBA or DEGREE Program to become a successful investor,,, or how about it if I continue or stop? What may be its advantages and disadvantages? Will my MBA program have any relationship with investment? Is business and Investment are different? Please I appreciate your help Dear Mr. Sherin.” I have acknowledged to this second comment by informed him that I am in my desk and almost prepared a new article (this one) as my answer to his doubts. I thought it would be nice to post an article on the basis of his comment rather than adding a long comment as the reply to him. Thanks Bhupu. I hope, you may enjoy this article and get right clarifications to all your doubts and questions. This could also be helpful to any later visitors to this blog!In this special article upon his comment, I would give some detailed information on his questions.

I should not need to do any MBA or DEGREE Program to become a successful investor,,, or how about it if I continue or stop? What may be its advantages and disadvantages? Will my MBA program have any relationship with investment?

Acquiring knowledge is always good. If you have selected a subject to that you have deep passion, I am sure, no one can beat you once entering to the real world upon completion of your higher education and acquiring enough hands on knowledge. Your authentic knowledge received from higher study along with deep passion to the subject, automatically lead you to the high comfort range and later turn as a real expert in that area. We can take ‘Warren Buffett’ as s superior example. He was carrying investing as a passion from his child hood and later received best possible higher education on the same subject that supported his career as an investor to a great extend.Warren trained under “Benjamin Graham”, the father of value investing, on the subject to which he had deep passion. He has later received high authenticity to his knowledge and profession which helped him to create his own investing rules. Which later lead him to the tremendous success as a professional investor ! In this context, if you have deep passion to a subject and planning to go for higher education on the same, I am totally agree to go ahead and build your career. You will certainly be succeeded.More over considering as a business, investment is an art. Some people may have this as a passion from their childhood. Some other build it later as a passion to the successful career. Those are from the latter category, required to work hard to build proper authenticity as an investor through right study and practices. Appearing for higher education help us to get knowledge on the subject in a better way but, when come to practical, one should not follow the books but required to build own investing rules.

As said, building a set of successful investing rules is not easy. These rules should be able to overcome any failures. It is a time taking process. One of the best supporting factors to build such rules are ‘own experiences’. An investor have a lot to learn from own experience. Any happening mistakes, factors lead to the success of an investment are some of them. Even though, I prefer to read maximum about the life, activities and achievements of investment legends like Warren Buffet and Benjamin Graham. Reading great books is another way to get fantastic knowledge as an investor. My personal collection has a book on Warren titled “Buffett: The Making of an American Capitalist” which was enough for me to get right knowledge on his personal life, study, career startup, ideas and activates. An investment advisory guide from genius writer Philip Fisher titled “Common Stocks and Uncommon Profits” I still consider as my bible for selecting a stock.

Is business and Investment are different?

I don’t think business and investment are different. Instead, I can easily say ‘Business’ is a common caption for an umbrella of activities. Investing is the one among them. If you are a professional investor, your business is investing as well as your profession too.

Dear Readers: What do you feel on my answer to Bhupu? If you feel I have missed something, inform Bhupu, other readers and even me, to get knowledge.

Picture: CubanRefugee