I have applied a loan of ksh 100000 to buy Mumias shares now that there been upward movement.Is that a good investment?

6880186

boss,you are asking after you've already decided?...what informed your decision? give more information if you want advise not consolation.

Let me get this. Asking for a loan..with a fixed predictable interest rate charge...to invest in shares..whose return on investment is uncertain..unpredictable.. unquantifiable...????? You my friend,are what makes people call investing gambling. Please note,the house always....ALWAYS wins. Best of luck.

..if it is not expressly prohibited in law.. DO IT!!!!

@ptor;

You are putting the cart before the horse!

Jammo has said this inumerable time: you never buy your stock in one large order! So if you get the sh100k from the bank,and decide that you want to nuy the MSC shares,don't give the broker one fat order!

Split the 100k into,say,ten portions of sh10,000 each. Then commit to purchase 10k worth of the shares each month for the next 10 months.

In the ten months,you will be paying back the loan to the bank,presumably using your salary. If your loan is repayable in 12 months at,say 15% interest,the bank will expect you to pay about sh9k each month. This means that you can get sh9k per month,si-ndio?

So here comes the question: why take the loan [and pay interest] while you can actually afford to buy the shares with your salary?




Behind the gardens...Behind the wall...Under the tree (Including: Red...Dark Blue...Yellow)

Im repaying the loan using salo

6880186