Paul Mampilly is an investment analyst who currently holds the position of senior editor with Banyan Hill Publishing. Mr. Mampilly has a proven track record in the investment and financial world having worked at Bankers Trust, Deutsche Bank and ING.
Over the course of his career, Paul Mampilly has witnessed several changes in the world of investments. One of the major changes that Mr. Mampilly has witnessed is the use of computerized trading. When he first started in the stock trading world, human beings put in most of the market trades. Now, changes in the market happen within seconds due to the mass introduction of computer trading.
ETFs are also a major change that Paul Mampilly has witnessed. These investment vehicles allow the average investor to have a basket of stocks in a given investment area without having to rack up the significant fees often associated with the more traditional mutual funds.
Mr. Mampilly has also noticed a change in investment philosophy during his time analyzing the market. The new philosophy is to allow companies to grow before there is an expectation of profits. This is why companies such as Amazon have seen such a significant rise in their stock price even before they were highly profitable organizations.
While Paul Mampilly has noticed several investment changes, he has also noticed that investors have a tendency to keep making the same old investment mistakes. One of the biggest mistakes is when investors put all of their money into a single stock. If the stock performs well, that is great. However, if that stock tanks, the investors savings has vanished.
Another common investment mistake that Mr. Mampilly sees is that people don’t watch market trends before they invest. The investors have a tendency to base their investments on feelings instead of on what the market is doing and on the fundamentals of a particular stock.
Paul Mampilly relies on research in order to make his investment decisions. That is something that doesn’t change. Research will help individual investors avoid mistakes as well.