Opportunity Knocks

opportunity-knocks-ithought-shyam-sekhar

The last week offered great buying opportunities. The next week may be even better. The key thing to remember in investing is to show conviction when it is found most wanting. This is never easy. When the world is gripped by fear, it may be too much to ask many people for high investment conviction. So, only a small minority show such conviction. While the majority is gripped by fear, this minority shows a different emotion – greed.

Greed in times of intense fear can be a good thing. It works to our advantage especially when fears always prove to be short-lived. The only thing about extreme emotions is that they are very ephemeral. When the emotions turn, the opportunity would have moved on. Taking advantage of opportunities thrown at us by extreme emotions is key. The window of opportunity will be short. At most barely a few weeks. With two tough weeks already done, we are slowly moving towards a point when opportunities may start closing the door on us. While it is still open, investors can get their act together and get in.

This is not the time to keep worrying about returns. Higher returns are earned by climbing a wall of worry, not by cursing past performance. This is a time to climb and continue your investment ascent.