I am really curious why do people like dividend that they get from shares? It is actually the company taking your money and giving a bit back to you and people think that they earn the money. For example, a share cost $5 and it gives you dividend of $0.50. So on the day of the dividend, the price of the shares become $4.50 ($5-0.50). Dividend is not earned. It is your own money.
It's the same as u give me $1000 and I give u back $50 every month and deduct it from the account.
People may argue that at least for stock, it goes up, and of course down. If money in bank, it earns little interest. Well, with or without dividend, the stock still goes up and down the same way. So it doesn't make much difference. Perhaps that is why really good stocks do not give out dividends...
Went to buy breakfast today and the storeowner was having small talk with me. She said that things r getting more expensive now but if she raise the price, people will not want to buy from her. Well, this is a very real thing. I would say that perhaps, the main cause or the root cause of inflation is the population boom globally, and the uneven wealth distribution.
The rate of our production cannot catch up with the population boom. With smaller supply and larger demand, those who can pay a higher price will get it. Therefore things become more expensive. On top of that, due to the uneven wealth distribution, the rich live and eat not just for mere survival but for luxury and enjoyment, depleting resources that can be used to give to a few more people in poor countries to help them survive.
Everybody just need a spark. I would call it a spark to be awaken. One of my fren told me that she is awakened during the recent election, that she may be middle class now but in a few years time, she may become the lower class as things start to get more and more expensive.
I too, was awakened many years ago by a news showing a man crying, after being retrenched after working 20 years in a local bank.
The awakening will induce a paradigm shift to the mindset and thinkings, behaviour will change after that. Perhaps it may take years, or months to complete the change.
Been very free these days.. And doing nothing gives myself the impression that I'm not earning much this month. On the contrary, when I have a lot of relief teaching in school, I "work" everyday and I have the impression that I was earning more. But the fact is that, this month, I earn more than those months that I do relief teaching.
Perhaps working gives people the false impression that they're earning a lot. We're been taught since young that u work hard, u earn more, isn't it? And also, when u work hard, firstly, u get more tired and will want something to "reward" urself, so u'll spend more. Secondly, u work hard, and presume that u have more money and will tend to spend more.
It's not hard to understand why so many people have not much savings. It stems from society, from the media, from our circle of frens. The society label the rich to Gucci, LV, Prada, dining in fine restaurant etc. The bank promotes loan. The media advertise to promote lavish lifestyle etc. After such bombardment, the youngs, first time experiencing money into their bank account, will consciously or sub consciously spend and spend.
The society has also a part to play. How many of us have heard of the saying "Life is short, play hard", "U can't take ur money away when u die" etc. It is true, life is short. It is true, u can't take ur money when u die. And perhaps people who said all these r those who live from paychecks to paychecks. I dun think living from paycheck to paycheck is wrong, provided that u have sufficient money for emergency. No one knows what will happen tomorrow. Perhaps someone in the family met with an accident and needed to be hospitalised or need money for operation etc. And if someone u care for cannot get good treatment because of money issue, it'll be a sad thing. Not being pessimistic, just being realistic.
As for the "u can't take money away when u die" statement, I've said in my previous entry that u'll be worst than dying if u outlive ur money. I dun mind leaving behind excess money when I die, but I mind using up my money before I die.
Failure is not having the courage to try, nothing more and nothing less. The only thing standing between most people and their dreams is the fear of failure. Yet failure is essential to success in any endeavour: Failure tests us and allows us to grow. It offers us lessons and guides us. It is said that every arrow that hits the bull's eye is the results of one hundred misses. It is a fundamental Law of Nature to profit through loss. Never fear failure. Failure is your friend
