Here are some of the most interesting articles that have appeared in the Motley Fool Singapore’s website over the past week. Let’s take a look at them. 1. 9 Investing Lessons I Learnt From Poker In this three-part series, Jeremy Chia, enlightens us with nine lessons he has learnt from playing poker. Part one can be found here; part two here and part three here. My favourite is Lesson 9: Growth is exponential, from the third part. The lesson goes like this (emphasis mine): “If you look at the winnings of some of the poker greats such…
Here are some of the most interesting articles that have appeared in the Motley Fool Singapore’s website over the past week. Let’s take a look at them.
1. 9 Investing Lessons I Learnt From Poker
My favourite is Lesson 9: Growth is exponential, from the third part. The lesson goes like this (emphasis mine):
“If you look at the winnings of some of the poker greats such as Phil Ivey, Daniel Negreanu, and Charlie Carrel, you will notice that they start off with just a tiny bankroll. For example, Charlie Carrel started off playing poker with just $10 in his account. This had ballooned to over $5 million in net profit. The winnings came slowly at the start but as his wallet got thicker, so too did his winnings which grew at an exponential rate.
This is exactly how compounding works. We can start off with just a small investment portfolio but as our investments grow, so too do our future returns. By reinvesting our profits back into our investments, we can grow our returns exponentially, just like how poker players grow their winnings. Because of this, we must start investing as early as possible to maximise the compounding effect of our investments.”
Albert Einstein once quipped that compound interest is the eighth wonder of the world and he who understands it, earns it. The earlier we start investing, the longer time we have to compound our returns.
Therefore, parents should start investing for their kid’s future right when their child is born. How cool will it be when the child turns 18, he or she has more than enough cash to pay for university education and settle down in life?
2. A Focus on the Oil and Gas Sector
Oil price has been languishing below US$60 per barrel so far. This is after falling from a peak of US$110 per barrel back in 2014. The precipitous drop has caused tremendous challenges in the oil and gas sector, with many companies filing for bankruptcy.
Find out more about the industry and the challenges it is currently facing from the various articles below. As a bonus, some of the articles cover thoughts from the DBS Group Holdings Ltd’s (SGX: D05) Chief Executive Officer, Piyush Gupta.
- 4 Quick Things to Know About DBS Group Holdings Ltd’s Exposure to Oil and Gas – click here
- What’s Going To Happen To The Oil & Gas Industry – click here
- DBS Group Holdings Ltd’s Latest Earnings Briefing: 2 Key Challenges in the Troubled Oil and Gas Sector – click here
- Making Sense of Ezion’s Trading Suspension: 2 Key Things to Know – click here
It has been reported that millennials are making long-term investments in large technology stocks in recent times.
Just like them, if you are keen to invest in stocks such as Facebook Inc (NASDAQ: FB), Snap Inc (NYSE: SNAP) and Twitter Inc (NYSE: TWTR), you must read the article above. It talks about three metrics – monthly active users, average revenue per user and user acquisition cost – that you must understand before investing in those stocks.
The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.