the deal wrote:@Bartum in your 36% year on year return u didnt factor in things like droughts, bears, recessions n the political risk...there will years on the NSE during that period when breaking even will be impossible...remember 2007-2008...the market is cyclical my brother...
Also you have to be careful at what point in time you enter NSE. Take case of 3 years ago when one bought CFC at 800, KQ at 130, Barclays at 100. I am sure you will have to struggle very hard to achieve such results. See the quote from WB below:
"I learned from Ben Graham how to avoid ever having any disasters in investments. He also taught me to see a stock not as something with a ticker symbol that wiggles around but to think about it as part of a business. Don't get elated because something had gone up or depressed because it went down. If I knew the facts, and it went down, I bought more of it. He also taught me that famous lesson about a margin of safety, that you don't drive a truck that weighs 9,900 pounds across a bridge that says "Limit 10,000 pounds" because you can't be that sure. If you see something like that, go a little further down the road and find one that says, "Limit 20,000 pounds." That's one you drive across.
Always think margin of safety.