Thursday, April 24, 2008

The Surf's rising

I was not always this idle blog surfer who has little else to do to see him through his drab and dreary days and lonely evenings. No siree. Yours truly used to get a little more in the way of amusement, the thrills of life, the rush of adrenaline. In other words, I used to have a life. It's another thing that I never quite learnt the parameters of having a life. Having a career that's fulfilling and rewarding may not be one of them I guess. That'd render so many people lifeless, apart from me. Playing and partying hard may be another indicator. I was never a party person.Been a decade since I last put bat on ball, too.

Besides other unmentionable games I played, I was quite fond of playing the markets. I have a good mind to come back to the unmentionables in another post, but that'll wait. Tonight I'm in a, what's that word? peculiar pecuniary frame of mind.

Once upon a time, I had a very small amount of money. Some monies, if that's what it'd take. Definitely not many monies. I took them to the market. No, not just like that. I'd mostly keep them in my savings account. Where they'd earn a robust 3.5% for most of the year. I'd wait for dips in the market and put some of these into stocks. Sometimes the market would heat up and I'd sell. This went on for about two years. I'd aim for an ambitious 25% p.a. on my net worth, and end up with a promising 11. Not so bad, huh? Prudent investor, that I was.

Then this January, it melted a little. I put in a little. Next day it was dripping. I put in a little more. Then it started to run down the drain. I was in denial. So I put in all I had. They took the shirt off my back and hung it high on their wall and threw me out into the street. Cruel Wall Dalal Street.Then they restricted entry to men without shirts. So that's what brings me here.

Don't let yourself run away with the idea that I'm bitter. I'm not. I'm not trying to whine either. Actually I've completely quit worrying about them small monies. I only ponder sometimes on the BIG monies they're going to bring back. Yeah, that'll be the day.

What I've observed in the interim, however, is a very interesting phenomenon. And that is the crux of this post. I've found out that the art of making a purchase decision gets infinitely easier once you are out of liquidity. I'll elaborate. Let's say we have a dining set which has seen twelve years of wear and tear. I've been getting hints at the home front every now and then. Let's also say my PC has of late started crashing and restarting without provocation. The vendor says it's with this mo-bo. Better get a new machine, sir. All of this going on while I had those some monies in that savings account, remember? But I can't spend it, no? It was earmarked for investment? Then again, is it financially wise to borrow for petty purchases while you have the cash? No. So these decisions were put on hold. All of this past year.

Then one day I didn't have the cash anymore. So wifey falls for that monstrosity in chrome and glass, and I hear myself say, "sure thing, momma." The hardware man yaps about this new pocket-friendly core-2-whatever processors and 2 Gb ram and I say, "why, bring it on!" at the snap of my fingers.

Now that I'm in a debt situation and just about able to breathe with difficulty, I've started to secretly drool over that 42" bravia x-series ( eludes me why Sony should name it like that). Me worry. It's been telling on the last reserves of my prudence.

There's only God to thank, ( and maybe Bernanke, or, Bush, or O'bama, or Chidambaramji, I don't know, whoever deserves my gratitude, kindly accept) I've noticed lately that the surf seems to be rising a little. Which means I can now see my investments lurking like distant shadows below water, as opposed to lying at the bottom of the occean. It gives me a notion of semi-liquidity. Nobody knows if it will hold, but at least now I can hopefully put off my tryst with Sony Inc. for another year.

No comments: