The Ren Men are big, big fans of Mark Cuban, love him or hate him you have to respect him. He owns the NBA team, Dallas Mavericks, almost bought the Texas Rangers and is a savvy businessman. Here are the latest two articles from his blog…we stole them, don’t tell him—no wait—do tell him, maybe we could get him on the show…Follow the links to his blog to read the full articles…hope you enjoy!
http://blogmaverick.com/2010/08/25/the-best-investment-advice-you-will-ever-get
The best investment advice you will ever get…
“I’m going to simplify what I consider to be the best investment advice I have ever been given and share it with you. Here you go:
1. If you have any credit card or other type of consumer debt on which you pay 5pct or more interest, pay it off. Compound interest is your enemy. The chances of you earning more on your money than you are paying in consumer interest rates are slim. Pay it off.
2. Cash is King. Now that Madoff is in jail, no investment can offer returns with zero risk. If you don’t fully understand the risks of an investment you are contemplating, it’s ok to do nothing. In times of massive uncertainty like we are facing today, doing nothing is a valid and IMHO preferable investment strategy. Just put your money in the bank.
3. Cash Creates Transactional Returns. ”
The Stock Market is still for suckers and why you should put your money in the bank…
“I wrote a whole series of articles warning people about the stock market over the years. You can see them here. It’s gotten worse. So I thought i would write some more about why you should probably avoid putting any new money into the stock market…”
TRM
{ 5 comments… read them below or add one }
Howdy Boys –
Count me in the camp of those who like Mark Cuban. He not only nearly bought the Texas Rangers, but was in the running to buy the Chicago Cubs last year. As a big Cubs fan, I was rooting for him.
I know Cuban can rub people the wrong way. He is ultra competitive and he wears his heart on his sleeve. I get it. But for me, I love his passion and his commitment to be himself and not alter his approach to please others.
Good luck on getting him on the show. Not only do I think it would be a good interview, but I also think it would be a ton of fun. Challenge him to a game of H-O-R-S-E and see if he takes the bait.
thanks for this post guys. My business just started cash flowing and I was debating paying down some personal debt or not. This was just what I needed!
Glad to hear it…
Interesting to that in Cubans blog he says
“The amazing thing is that doing nothing in the market is the smartest approach to the market. It is pretty much impossible for some man or woman or child who devotes a couple of hours per week to the market to outperform the professionals who spend 24×7 doing this for a living and when they are asleep, they have a workforce full of people doing more of the same. In this day and age, none of us are smarter than the market.”
Yet you guys are really pumped about your investment club.
Can I get your thoughts on why you think you guys can out smart the market?
(disclosure. playing a bit of devils advocate here, I think you guys can and will continually beat the market, even if Cuban doesnt)
We have to be pumped about the investment club, or we couldn’t do it. We only take a small portion of our monies to ‘play the game’. We recommend that advice to everyone, don’t invest more than you can afford to lose. This includes retirement funds. Retirement funds might be the scariest funds of all to invest in, and most people do it blindly. Scary…
The reason we think we can out smart the market is by focusing on just a few companies and watching the cyclical trends of each company. We hope we can out smart the market and we’ll try every way we can to out smart it.