Gift of perception.

There is no right or wrong in the world. There is only truth and acceptance.

How you perceive that truth is what will determine whether or not you will accept it.

Most of us are brought up under a set rules and guidelines of how the world or society should be. Anything outside those rules is perceived as wrong. These are the truths that we have come to accept.

Go to school. Study hard. Get a job. Get a wife/husband. Have a bunch kids. Die. Capice.

Anyone else see the trivial sequence? Of course.

Hence the opium of the masses ( religion ) and metaphysics theories and the never ending cults.

They give a flavourful perception of how life should be rather than the bland routine we have been acustomed to.

One must learn to perceive life as it is. Not as you wish it to be.

If you live life in the sequence ingrained into you by other people you will not learn to perceive life on your own terms.

It will be like painting a replica of the Mona Lisa. Just as good. But not quite the same.

Einstein quoted “ A problem can never be solved at the same level it was created.”

Why do think this is so? Perception.

In any organization, if there exist problems that cannot be solved by operational staff, it is bumped up to management. If management cannot solve it, it’s taken to the directors. And if the directors cannot solve it, Consultants are hired.

This is because the problem may require a different angle of perception.

It works the same way in investment. When securities rise in value, some investors think the stock in valuable, so they buy into it, while other are afraid that the stock in not at the right price so they sell and vice versa.

In Life. Everything is about how you perceive it.

Is consumption of alcohol bad or good?

Are women better people than men?

Are Kenyan politicians good or bad?

Well, if you live in Kenya I think our perception on the last one may the same.


You can only accept what you can perceive.
The gift or perception is one that can be natured.

You will learn a lesson everyday. Pay Attention.

Dont let them get you!

Lately Kenya has been in a frenzy and no, it’s not about the politics, it’s about finding the hottest way to make the quick buck!

Greed has set its claws upon us. God help us all.

From Multi Level Marketing Schemes to Ponzi Schemes to outright Robbery.

Unfortunately, it is very easy to fall prey to these predators as they promise very high returns that could change you life.

One thing that we should all remember is that no else can change your life other than yourself.

Here are a few ways to avoid getting scammed:

Avoid schemes with "Referral Fees" - schemes that offers commissions just for recruiting additional distributors. If the plan is good, it will attract new investors on it own merit.

Avoid schemes that are "Free to Join" - Hakuna cha bure, Utaripa huko mbere!

Avoid schemes that claim that you "don't have to work hard" – There is no such thing as easy money.

Avoid "Miracle product" plans - plans that promise enormous earnings or claim to sell miracle products. Remember the virginity soap?

Avoid Guaranteed or risk free profits- The basic rule of investing is risk = return. So if you are promised + 300% return what is your risk? -300%

Classified Ads – Anything advertised in the classified is likely to be a scam. If they are making as much money as they claim cant they even afford a ¼ page ad?

Ask questions about their business – What product or service do they sell? Where do they invest the money? What value are they creating? If the answer is something in the lines of “we group members in a bus of money and it goes round…..” Your money will go round the corner into their pocket and vamoose!
If their business is making millions in a matter of weeks money why do they need you to give them your 1,000 bob?

Where is the business located - A busineess that has a turnover of millions in a week will certainly not be located in a sublet office. Unless ofcourse, its a flyby night venture. Today you see them, tomorrow you dont.

Fraudsters come in all forms and sizes. If you do not fully understand what the business does just stick by the sidelines and sip you soda in peace.

Price- Volume Analysis

All the daily data you get from the stock exchange in financial technical analysis charts are nothing more than:

1. Price

2. Volume

Only the price and the volume of shares traded are known daily and captured as charts for financial technical analysis. Volume is an important element and can be used to help you identify trade entries and exit.

There are six basic “rules” or guidelines to follow in price-volume analysis. They are:

1. Rising Price + Rising Volume = price will continue to rise

2. Rising Price + falling volume = Bullish trend is dying

3. Falling Price + Rising Volume = price will continue to fall

4. Falling Price + Falling Volume = Bear trend is dying.

5. Falling Price + Sudden Volume surge = bear trend end. Watch for reversal

6. Price at Peak + Sudden volume surge = Bull Run end. Watch for reversal


Below are graphs that show you how the above analysis can be done.

I hope this will give a good picture of how price- volume analysis can help you select entry and exit points in you stock picks.

Enjoy your week.

Investment Clubs.

Investment Clubs, better know as “Chama” are a good way to venture into the market.
Most investment clubs are formed by a group of friends, co-workers, neighbors etc. The basic idea is to get people who have similar goals and objective to avoid a lot of conflict later on.

What are the advantages of being in an investment club?

You don’t need a lot of money to start. The little money each member contributes quickly adds up to a lot. Every shilling counts!

You get to pool your funds and reduce the individual risk associated with investing.

The combined knowledge of group members can prove to be vital. Imagine having members from banking industry, advertising, manufacturing, transport, finance etc. The wealth of information can be priceless.

You get to set your own rules and are compelled to follow them. How many times have you promised yourself to do something and up to now haven’t done it? Many I guess. How many times have you promised a friend to do something and failed to do it? Few I bet.

Decisions about investments are deliberated and agreed upon by people with different investment perspectives and may result in profitable investments.


With the unlimited gain potential and limited losses (until you money gets to 0 bob) of the markets, you can easily grow this money into a substantial amount.

Set realistic long term goals. Investment clubs take time and effort before you can reap their benefits. But when you do, it will be worth it. Ever heard of the Tran-century Group?

Have regular meetings to discuss your investment objectives and the direction the club is taking. And don’t meet in pubs. Trust me.

As the age old adage goes: There is strength in numbers.

Go on, call your buddies, start a club.


ps. You can download this ebook. It will guide you in starting your own investment club.


Its the same book two different links. Just in case one doesnt work. Enjoy.

http://s21.quicksharing.com/v/3832056/InvestmentClubProfits.pdf.html

http://www.mediafire.com/?0wlzjklkngx