Investment in Google or Luxurious Car…???
If I ask you the above question than what will you prefer? Most of you will prefer to buy a luxurious car rather than buying stocks of some bluchip company. Now, let me tell you one example of my friend working in the reputed multinationaly company in USA.
Well, I have changed the name of Company to “Google” because of everyone of you know Google very well. So this will be helpful to you to understand the example.
Well, My this friend is working in Google (Hypothetical Example). He is working at one of the top level of post and making 6 figure income in dollars every year. And he has all the key financial information about Google on hand. After all Google is a publically listed Company so everyone has a right to know its quarterly results.
Last year, Google Inc. has made $ 20 Billion revenue. In short, Google has outperformed even during the time of recession and not only this but in comparison of 2008, This year it has posted 51% Revenue growth in the third quarter. Now, this is amazing.
Now, when I asked my this friend working with Google (Hypothetical) that how many shares of Google did you bought last year, he replied that – ZERO.
Yes, Zero. He has not bought any shares of Google eventhough he had considerable first hand knowledge of his Employer’s Success and an annual 6 figure Income.
But my this friend did purchase a luxurious car every year during this time…!!!!
Now you understand that, why people struggle financially eve though they earn high income every year? This is because they don’t know that what is Asset and What is Liability? And of course, buying shares of Google is not at all a glamorous thing in comparision to buying a luxurious car.
So now, you decide yourself that which lesson you learn from this Article?
If I ask you the above question than what will you prefer? Most of you will prefer to buy a luxurious car rather than buying stocks of some bluchip company. Now, let me tell you one example of my friend working in the reputed multinationaly company in USA.
Well, I have changed the name of Company to “Google” because of everyone of you know Google very well. So this will be helpful to you to understand the example.
Well, My this friend is working in Google (Hypothetical Example). He is working at one of the top level of post and making 6 figure income in dollars every year. And he has all the key financial information about Google on hand. After all Google is a publically listed Company so everyone has a right to know its quarterly results.
Last year, Google Inc. has made $ 20 Billion revenue. In short, Google has outperformed even during the time of recession and not only this but in comparison of 2008, This year it has posted 51% Revenue growth in the third quarter. Now, this is amazing.
Now, when I asked my this friend working with Google (Hypothetical) that how many shares of Google did you bought last year, he replied that – ZERO.
Yes, Zero. He has not bought any shares of Google eventhough he had considerable first hand knowledge of his Employer’s Success and an annual 6 figure Income.
But my this friend did purchase a luxurious car every year during this time…!!!!
Now you understand that, why people struggle financially eve though they earn high income every year? This is because they don’t know that what is Asset and What is Liability? And of course, buying shares of Google is not at all a glamorous thing in comparision to buying a luxurious car.
So now, you decide yourself that which lesson you learn from this Article?
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