Olympus Financials

  The Power of Compound Interest Case: Netflix $NFLX Netflix $NFLX has outperformed the market over the past 10 years by 30.96% on an annualized basis. Buying KES 100K in $NFLX: 10 years ago, an investor could have purchased 75.54 shares of Netflix at the time. This investment in $NFLX would have produced an average annual return of 44.09%. If you had invested KES 100K in Netflix, you would have over KES 4 Million today. Finally, what's the point of all this? The key insight to take from this article is to note how much of a difference compounded returns can make in your cash growth over a period of time. How to Grow Rich with The Power of Compounding Join Olympus Financials for more insights and links

How News affects  the performance of a stocks. You should always watch out for news about stocks N ews.  It can move stocks. One day your favorite stock is on top of the world, about to launch a new product, and then BAM, the next thing you know it's halted for trading.  That's because news can affect stocks in several ways. Market makers decide when to halt trading based on new information released to the market.  This information can be anything from financial statements to details about a rumor about another company that could directly or indirectly affect the share price of your stock.  Make sure you're not trading on an empty stomach: before you make any trades, check out what has happened to the stock recently (pumped up with features) and then decide whether you are buying in or selling out. Example:  Jan 18 th , 2022. Microsoft Corp.   plans to acquire Activision Blizzard Inc.   in its largest deal yet as it looks to boost its gaming...

3 Investment Principles that have Withstood the Test of Time You can’t control stock market movements or the economy, but you can control what you do with your money. A long-term perspective will help you stay focused on your goals and weather market fluctuations. To improve your odds of success, focus on what you can control. Here’s how to make smart investment decisions: Diversify your portfolio Owning a variety of investments helps smooth out any bumps in the road. For example, if the stock market takes a dive, your bond assets may cushion the fall. Likewise, when interest rates are low and bonds are paying a pittance, stocks can boost your returns. Own only quality investments. Quality is more than just an investment’s potential to pay off. It also includes its likelihood to be around tomorrow — and beyond — as well as its record of paying dividends or interest reliably over time. Maintain a long-term perspective . Time in the market is more important than timing the market. Invest...

When to Sell and Take Your Worthwhile Profits The key is to recognize when your stock has reached a point where it isn't going any higher. Keep in mind that you don't want to be greedy and jump out too early, but you should also avoid staying on too long. Selling a stock at the right time requires patience and disciplined analysis. A successful strategy is rooted in a valuation process that measures value based on fundamental data. The objective is to estimate the intrinsic value of your company and compare this with its current trading price. The bottom line is that if you have a stock in which you have a good gain, sell it. Don’t give in to the temptation to let it run so you can make more money. It will run out eventually. You made a profit and now it’s time to cash in on it. It’s better to get a big gain now than a little later. If you want to make more money, put the money from your sale into another stock that has better potential for gains than the one you just sold. Tig...

How to improve your trading performance. Investing is a difficult game to master. In the end, it all comes down to your belief in an idea and your ability to execute. Luckily for you, there are a few things that can be done to improve your trading performance. Here are a few tips to help improve your trading performance: 1. Work on your mindset everyday: It is important to stay positive during trades and think of successful trades as a result of your decisions and not the result of luck. A lot of times we fall into the trap of thinking we know what the market will do next, when in reality it was our inner voice guiding us through the process. This is how we build confidence in our decisions and how we learn from mistakes. Work hard on developing your mindset and it will pay off in the long run. 2. Use a stop loss to protect capital: The best way to minimize losses is by using stop loss orders. When you use stops you can be more flexible with your take profits, which allows you to get i...