“Too good to be true”

Here is an excerpt from an interview of one of the finest bankers in India, Mr. Uday Kotak:

There is an internal story. There was this particular trade that had come to us, which was extremely profitable. It was too good to be true. That is a line we follow…if something is too good to be true, don’t do it. It worked for us. Another brokerage firm took that job And they were banned by Sebi for five years. We just said thank God!

Look at what he says. “If something is too good to be true, we don’t do it”.

I wish many small investors followed such a philosophy.

#RidingTheRollerCoaster – 240

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“A book for keeps” says Deepali Sen

Amit Trivedi: absolutely enjoyed reading ‪#‎ridingtherollercoaster‬.
Greed and fear, the key drivers of our investing mistakes. And yes, we need to read and re read it to learn from history.
The examples on financial disasters chosen by you are over different geographies and time periods- the message is same, “too good to be true”.
Well written and insightful.
The book is certainly for keeps. Congratulations Amit.