Hi, again everyone. This is Terence from Income Mastery Program. Today we are going to talk about another question that we typically get from our interested investors over here. Now, another question that is usually asked “Terence, how should I select a stock?”, or “What kind of stocks should I look out for so I know that I’m going to make money, right now?” That is the 1-million-dollar question. I always tell our investors that everything should be kept simple because the simpler that things, the simpler money will be made.
Now, think about property. Property is so simple that anybody who does it the simple way will make money out of it. So, in the stock market, how can we do the same? How can we keep things simple? Some of the more recent news are stories like when Intel reported they are laying off 16,000 workers worldwide. People then asked me, “Should I fear Intel company?” My reply to them is actually very simple. You do not have a look at numbers because numbers are always going to be numbers. Corporations will do whatever they want to show the numbers that they want to show. But, it is more in terms of a commonsense decision that you have to make with your investments over here.
Ask yourself this, “What is the motto of Intel?” The motto of Intel has always been Intel insight. So, what is Intel insight? Intel insight has always been about selling their processors to all of the computers out there. They dominate about 80% to 90% of the market share in terms of the laptop and desktop productions over here. So, if they lay off 16,000 workers yes it is a concern but are they less “insight” nowadays? Now, if they’re not less “insight”, then it is still a great company after all. There’s still going to make money at the end of a day. Right now companies, and that is the case for big companies, have ability to make money or profits year after year all the time. It is just a matter of that specific year being more or less. It is a very simple process.
Another example. I always tell my students that 3M is a big company, one of the best companies that you can look at. Why? If you go out there and ask anyone, “Have you ever laid hands on a 3M product today.” What would you think their answer will be? I think the answer is that 80% to 90% of the people that you asked would give you an answer that says, “Yes.” That means money. There are able to sell their products to 80% to 90% of the people out there. Not just the people but offices included. Now, think about this. What happens to the worldwide population after that? It goes every year. When it grows every year 80% to 90% of market share of something that grows naturally every year is profit. That is simple. You don’t need any number crunching to achieve that.
Once you know a company is able to make money what we need to do after that is to make sure this generates profits for our own end. What we need to do is find a great company and find your own means and strategies to create a source of income out of the good investments over there. That is what we’re doing at Income Mastery Program. If you would like to find out more about this stay tuned to our next videos. We will talk a lot more about these topics and how we can achieve this. So, that is all for this video. Thank you very much.