What is long term investment? How long is long term? When do I book my profits??
Here is a look at a shoe company that everyone knows of.
Growing up, I always wore Bata shoes but over time they had become old fashioned with little style to draw us to their stores. The company has worked on fixing this and the turnaround reflects in the company’s financials with premium footwear now accounting for nearly a third of its sales, improving margins.
Shares of Bata India surged 80% in the last 12 months compared with the 4% in the NSE Nifty 500 Index. It has returned nearly 180% gains in the last three years and more than 3,000% in the past decade, making it a mega wealth creator.
See the amazing chart which tells why long -term investing means enduring pain and showing resilience over several years to get big rewards- Bata was a laggard for 15 years from 1994 to 2009.