Mark cuban talks about his Investment Philosophy , Start-ups going public and Automation

Mark cuban talks about his Investment Philosophy , Start-ups going public and Automation at Upfront Ventures conference . Mark Cuban is a Billionaire , one of the Shark at Shark tank  , tech mogul & outspoken owner of Dallas Mavericks. His Net Worth is $3.3 billion .

Why companies goes public because they feared there culture will change, affraid of becoming public comapny CEO.20 years back 9000 companies were public companies , now only 4000. During dot-com hit companies has to depend on analyst but now information is so easily available companies just find VC’s or investor for funds. The best way to eliminate competition is buy them we saw AppDyanmics acquired by Cisco , Twitch by Amazon.

My investments in San Francisco has dropped to 90%, the cost to startup is so low as of now. Money will find the brain power easily. Its not about the location , its about the smart people.

What I finds making deal in Shark Tank  is , if enterpreneur is working 24 * 7 for his Business as someother part of world someone is also competing hard. I like to invest in future business which are on AI , Machine learning and Deep learning.

90% of my reading is now about Deep learning , neural networks , AI world.

Automation will definately play major role in future , it will replace what we do most of things manually today.

Netflix and Amazon are two best start-ups followed up by Google & Facebook.Netflix and Amazon these 2 of my major share holdings.

We are working on applicaiton (App that will make replies to a tweet private ) that controlling whose gonna troll on twitter. Trollers troll beacause they want to get noticed.

Image source : Business Insider.

Cheers,

RVD

Jack Ma talks about globalization , trade and ease of doing business in China

Jack Ma (Ma Yun , Age 53) is Chinese business magnate, philanthropist, internet and technology entrepreneur, who is the founder and executive chairman of Alibaba Group.  His Net Worth is $37.9 billion .  Jack Ma talks about globalization , trade and ease of doing business in China at Fortune Global Forum in Guangzhou (China) ,2017.

Alibaba is going to invest $15 billion in technology . This investment will help us to make lab like Bell lab and will empower other people, traditionally tech company will use investment to empower themselves.

AI will not be threat to humanity , I am optimistic about future.

China has seen tremendous growth in recent years due to stability of political system. In next 10 years China will have 500 million middle class people. China has 150 million people holding qualified degree which is half of population in U.S. China is country still talks about globalization , open door policy & encouraging enterpreneaurship.

When trade stops , war starts. Every country must benefit from globalization.

Amazon is an ecommerce company but Alibaba is not ecommerce company. Alibaba enable other people to do ecommerce.

No internet company can survive after 5 years if it they cannot reinvent themselves like Yahoo and Netscape. Alibaba has transform themselves 80 times in last 18 years.

In next 20 years , Alibaba’s GMV (Gross merchandise volume) will reach to be one of top 5 economies in world.

To do business in China is as difficult as doing it other countries. 3 rules to do business in countries ,
1. Respect culture,market and consumers
2. Should have strong leadership, leaders have to make customers happy not boss happy.
3. Have patience

Image source : cnbc

Cheers,

RVD

 

 

What Business Leaders thinks about Machine or Automation replacing our jobs ?

Half of U.S. jobs will potentially be replaced by robots and automated technology in the next 10 to 20 years, according to a 2013 study by Oxford University.A lot of Business leaders expressed their thoughts on Automating job that we do today. Let’s see their views on this.

Bill Gates (Billionaire and co-founder of the Microsoft Corporation) : In an interview with Fourtune Bill Gates anticipates that robots will replace number of workers over next 20 years. By taxing the robots it will slow down the pace of automation. Automation will lead to more job losses in warehouse operations ,truck driving and manifacturing but overall impact will lead to increase in employment.

Jack Ma : Predicts next 30 years will be really painful if we not invest wisely in terms of technology and innovation. He told at CNBC interview ‘In next 30 years , people will work only 4 hours a day probably 4 days a week’. People will travel more , as of now we in lifetime visits 30 places but that number will go as high as 300.

Elon musk (He is the founder, CEO, and CTO of SpaceX; a co-founder,Series A investor, CEO, and product architect of Tesla Inc.; co-chairman of OpenAI; and founder and CEO of Neuralink. Musk is also a co-founder and former chairman of SolarCity, co-founder of Zip2, and founder of X.com) : In an interview with CNBC , he said “I think that there’s a pretty good chance we end up with a universal basic income, or something like that, due to automation,” . Universal basic income its concept where all citizens will receive small regular stipend to cover basic housing and food needs etc.

Warren Buffet (CEO and chairman of Berkshire Hathaway) : ‘IF ONE PERSON COULD PUSH A BUTTON AND TURN OUT EVERYTHING WE TURN OUT NOW, IS THAT GOOD FOR THE WORLD OR BAD FOR THE WORLD?’. He explains example of farms about 80% people working on farm will reduce to 2-3%. With fewer people needed to work on farms, more are able to pursue other skills and vocations. Buffet says he is optimistic about future and will lead to more innovation in terms of technology.

Image source : Techcrunch

Cheers,

RVD

You should buy Bitcoin or Beware of it ?

Should you Buy Bitcoins or not , lets find out. This are the quick thoughts from Cryptocurrency experts and InternetDollar.org on BloombergQuint session Bitcoin: Buy Or Beware.

1. 1800 bitcoins generated everyday approx.
2. Million machines were deployed on bitcoin network currently own by single or multiple people & located at various parts of the world.
3. China has majority share in Bitcoin mining.
4. Value of Gold globally is about $8 trillion and that of Bitcoin is $274 billion . If we see for next 20 or 10 years dont know if exists the Bitcoin or might it will reach trillion dollar .
5. More number of participation on Bitcoin network will increase value of Bitcoin.
6. Cryptocurrency biggest technological shift since Internet evolution.
7. Expect 5 tp 10x return over next 6-18 months.
8. Invest what you can afford to loose.

There are around 40 Bitcoin exchanges globally , here is full list of it.

Bitcoin as of today worth :

1 Bitcoin : $16,532.70

Bitcoin market capitalization  : $275 billion

Image source: techcrunch

Here is full video of BloombergQuint session on Bitcoin : Buy or Beware ,

Cheers,

RVD.

5 Books you must read this Holiday Season

5 Books you must start reading this Holiday Season . These are some of the best books recognized by Wall street journal and New york times.

1. Hit Refresh : The Quest to Rediscover Microsoft’s Soul and Imagine a Better Future for Everyone By Satya Nadella
Description : Book by Microsoft CEO , Satya Nadella. One of the best reads so far. He talks about how he changed Microsoft culture and foster Microsoft business to Cloud , also he talks about how Microsoft is using Artificial Intelligence , Quantum Computing & Mixed reality.
Rating : 4.5/5

2. Alibaba: The House that Jack Ma Built By Duncan Clark
Description : This about Jack Ma, how he convinced 18 people from his apartment in China about Internet & end up starting Alibaba Group.
Rating : 3.5/5

3. Business Adventures By John Brooks
Description : Books tells about 12 classic tales from world of Wall Street.
Rating : 4/5

4. Shark Tank Jump Start Your Business: How to Launch and Grow a Business from Concept to Cash
Description : This books is of the contribution of U.S reality investor show Shark Tank Shark’s which tells about
bits and piecess about how to execute your idea into reality.
Rating : 4.5/5

5. Onward: How Starbucks Fought For Its Life without Losing Its Soul
Description : Book by Starbuck’s former executive chairman and CEO. Tells about when he returned as CEO how he transformed culture and way to look at Starbucks.
Rating : 4.5/5

image source : Signature reads

Keep Reading ,

RVD

How actually the Bitcoin transaction works ?

Bitcoin as of today ,

1 Bitcoin equals 9,27,302.96 INR /  14,373.00 USD

  • Bitcoin is decentralized digital cryptocurrency.
  • Its invented by Satoshi Nakamoto & released in 2009.
  • It works on the Blockchain (Blockchain is nothing but ledger which records and maintains transactions).
  • Bitcoin uses peer-to-peer technology to operate with no central authority or banks.
  • Bitcoin is open-source; its design is public, nobody owns or controls Bitcoin and everyone can take part.
  • Bitcoin allows exciting uses that could not be covered by any previous payment system.

For more information about Bitcoin click here.

Now lets see below infographic that shows how Bitcoin transaction works ?

Cheers,
RVD

Alibaba group Chirman and CEO gives advice to young people

Jack ma (Ma Yun, Age 53 ) is founder and executive chairman of Alibaba Group. His Net worth is 40.1 billion USD , one of richest men in China and Asia.

Jack Ma advice’s to young people at one of talk shows in S. Korea ,

  • If i was 25 years old now , I will go back to China see the market there & visit to U.S think about it again back to China.
  • Use of IT / Data technology will make the different in every Businesses.
  • If everybody agrees then wait for it is it there an opportunity , if everybody against it there will be definately an opportunity.
  • Any mistake is wonderful revenue at young age.
  • Difference between smart people such as Bill gates, Warren Buffet, Jack Welch and us is they optmistic about future. They try to solve problem of othere.
  • Opportunity lies where people complained.

One of the student asked Jack Ma about what young people should do before 30 years ,,

  • Before 20 years old : Be a good student.
  • Before 30 years : Follow somebody , go to small company you will learn . Normally in big companies its good learn processing, you will be a part of big machine.
  • In 30-40 years old : Are you working for yourself ?
  • 40-50 years old : Do the things you are good at , dont try to jump into new area . You might be successful but rate of dieing is high.
  • 50-60 years old : Work for young people.Rely and invest on them.

Image soruce: CNBC

Peace ,

RVD

 

What Industry leaders think about investments in Gold Vs. Stocks (Equity) ?

Business leaders such as Microsoft co-founder, Billionaire Bill Gates and Legendary investor Warren Buffet talks about Investment in Gold Vs. Equity at CNBC Squawk Box.

Bill Gates : Gold investment is tough investment , because its so psychological & less innovation.

Warren Buffet : A productive asset will outperform a non-productive asset like gold over time. I gurantee that
farmland or equities will outperform gold over 100 years. If you take all of the gold in world about 165,000 metric ton (approx.) & all put together in cube which comes 67 feet a side. Cube is 7 trillion USD , all of the stocks in U.S market comes around 20 trillion USD.Business will change over time but looking at cube of gold will remains same , its easy to differensiate.

Now lets see Gold Index vs. Stock Index this year till date ,

Period S&P BSE SENSEX Gold 24Carat / 10g
1st Jan 2017 26,595 28,833
24th Nov 2017 33,679 31,647

So summarize Stocks or equity outperforms Gold over investment.

Cheers,

RVD

What principles does Buffet uses while picking up a Stock ?

Warren Buffet (Age 87) is a legendary investor ,Chairman and CEO of Berkshire Hathaway. His net worth is 77.9 billion USD. 

Some of tenets of Buffet while picking a stock,

1. Doesn’t believe in IPO

2. Business should be easy to understand and has long history.

3. It should have great leadership team.

4. Look for long term return on investments rather than earning quick money.

5. Check financial statements look for PAT (Profit after taxes), EBITDA (Earnings before interest, taxes, depreciation, and amortization), market value etc. , study the business on your own.

6. How much money does it own offshore or in Cash money ?

7. What is its market capitalization ?

8. Look for if it has Higher margins , return on equity

9. He does not look for stock he calls it a business (% of Business)

In 1965 , Eugene Fama of University of Chicago published PhD desertion “The Behavior of Stock Market Prices”. Prediction about the future stock prices are pointless because the market is too efficient , in this market as info becomes available a great many smart people aggressively apply that info in a way that causes prices to adjust instantaneously”.

There will lot of other factors comes in consideration while picking any of the stock , these are some of key principles of Warren Buffet.

Cheers,

RVD

Pitching your idea in front of the investors or VC’s here is checklist you must follow

Before pitching to VC’s or Investor about your Business / Product / Idea, below is the checklist you must follow, here some of the key takeaways of what actually runs in investors mind if they really wants to invest in your idea / business,

Why should investor or VC invest in your Business?

Investor should get convinced on this answer. Here is how it should be: Which problem it’s solving, how investor gets ROI ASAP. Don’t give market stats (They already knows it that’s why they are here).You can tell the sales (if they are really impressive)

How your company valuation works, are you valuating your Business correctly?

If you are asking for $200,000 for 10% of stake (equity) then you Are valuing company at $2 million.  For e.g. you are making $100,000 a year and PAT is $30,000 and you are asking for $200,000 that means asking 6 times more than profit that should not be the case.

Is anything proprietary about your business?

Great innovation / idea doesn’t means it will be huge success it has to be protected.You can protect with a patent or TM (Utility, design depends on your need)

Do you have any debt?

You have lot of debt and you are not returning back investors’ money in desired time alsoBusiness is not profitable yet. It should be debt free.

Do you own 100% of your business or at least 51%?

What happens is entrepreneur has an idea he executes the idea and for next capital he keeps on raising money but his equity keeps getting diluted as raising money. Investor’s at least wants you should be decision maker for that you have to majority of your business.

Is your business profitable?

You are running business for lot of years and you have millions of dollar into advertisement, trade shows in marketing etc. You have to keep eye on margins, slotting fees (It’s a fee that you have to pay for your product in shelf space of retailers like Walmart, Walgreens etc.)

Too early to invest?

You haven’t proven your idea or product successful yet and it’s not making any money. Before pitching to VC or Investor need to have clear idea about it’s a product or company.

Is your roadmap for business clear?  

You should have vision in your mind, VC’s only want return on investment and unless and until you don’t have clear plan about next 3-5 years. They want visionary leader not just a innovator.

Your pitch should be more of ROI (Return on Investments) and about product 

While pitching to VC’s or investor, don’t give market data or statistics (for e.g. if you have coffee product and telling its $20 billion industry). How you going to return money back you should eat, sleep with business work your hard to bring ROI.

You should be clear with your numbers

What’s your PAT, EBITDA? How much you have earned in last 12 months, 1 year. You should be clear with your numbers.

Who all are your competitors?

Is there any similar product available in market, what’s difference between you and them? Is it costlier, healthier, safer or economical etc.?

Does market really needs it?

If your idea is not solving real problem or it’s been already solved. More of like old wine in new bottle. There must be target audience or need of your product.

What is your customer acquisition cost?

Its cost that you spend to acquire a customer. You must know this answer because it tells that you know about market size, target audience..

What will be distribution or promotion strategy?

Strategy should be going to retailer (if product is suitable for retailer) or attending a trade shows or on social media etc., it should not be to a hire a sales guy that’s give bad impression.

How much your spending on your advertising ?

You should allocate some of the capital in profit to this or best way is (go for Kickstarter campaign, Indigogo or attend trade shows etc.) . Social  media is now best tool for advertising , improving SEO etc.

Is your Business / Product names suggests or relates what it does ?

Your product name , Logo i.e Branding plays very crucial part because its directly talks to customers so make it simple , clean and good design.

If everything is going your way (good sales , generating enough cash flow) they why are you here ?

Tricky one to answer , you might need a stratigic partner who will help you in making decisions and phone calls to retailers or big box stores or large co-operations.

And last but not the least , Dont be greedy !

Cheers,

RVD

Habits of Millionaires for Building Wealth

Top 10 Habits of Millionaires for Building Wealth

A millionaire is an individual whose net worth or wealth is equal to or exceeds one million units of currency. It can also be a person who owns one million units of currency in a bank account or savings account.
Depending on the currency, a certain level of prestige is associated with being a millionaire, which makes that amount of wealth a goal for some and almost unattainable for others.In countries that use the short scale number naming system, a billionaire is someone who has at least a thousand times a million dollars, euros or the currency of the given country.

For more information click here.

Courtesy of: Visual Capitalist

Cheers,
RVD

What is the difference between Bitcoin and blockchain?

What is Blockchain ?
A blockchain can serve as “an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way.”[8][not in citation given (See discussion.)] For use as a distributed ledger, a blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for validating new blocks. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks, which needs a collusion of the network majority.

Bitcoin
Bitcoin is a worldwide cryptocurrency and digital payment system called the first decentralized digital currency, as the system works without a central repository or single administrator.
It was invented by an unknown person or group of people under the name Satoshi Nakamoto and released as open-source software in 2009.The system is peer-to-peer, and transactions take place between users directly, without an intermediary.These transactions are verified by network nodes and recorded in a public distributed ledger called a blockchain.

Lets watch video to understand it better ,

Cheers,
RVD

Now trees can charge your phone and provide free Wi-fi connection

These palm trees in Dubai can charge your smartphone powered by solar panels and provide free internet connectivity. The charging is faster than traditional outlets. During the day it consumes solar energy and light up in dark. There are 50 such palm tress present in Dubai .Some of its key specifications ,

1. It can charge 2.5x times faster.
2. It lights up in dark.
3. has 360 degree camera for security

For more information visit official website here.

Watch this video for quick introduction & application usage.

Cheers,
RVD

Jack Ma talks about ecommerce , AI , Machine learning at Gateway Keynote

Jack Ma

Richest person in China , 2017 

Founder and executive chairman of Alibaba Group

Net Worth :  39.1 billion USD

Source : Wikipedia

Here are some of key highlights of keynote speech ,

  • Today its an era of Data Technology not Information Technology
  • Currently around 800 million people shop online , next 20 years 3 billion people will switch to e-commerce
  • In next 20 years 60% people will shop onlineOn singles day Alibaba sold  $18 billion USD
  • If it is a challenge for big company then its an opportunity for small business
  • Service and tourism industry will create lot of jobs.
  • Due to  AI manufacturing industry will get affected.
  • Every small business must be globalize , future will be consumer 2 business (C2B)
  • China delivers over 80 millon packages a dayToday
  • China has 300 million middle class which is almost equal to US entire popullation

Watch here full speech of Jack Ma ,

Cheers,

RVD

Legendary investor Warren Buffet talks about U.S stock markets , economy and much more

Warren Buffet

Net worth : 80.3 billion USD
CEO and Chariman of Berkshire Hathaway
He is largest stock holder in Wells Fargo and & Bank of America

Here are some of key highlights of his talks,
1. Still prefer stocks , over the bonds.
2. Interest rates will vary.
3. Tax reforms will affect stock buy / sell decisions.
4. Berfkshire Hathaway acquires 38.6 % in Pilot Flying J.
5. Wells Fargo will solve issues as time progresses.
6. Corporate tax rate goes low from 30 to 25% , it will not hurt for businesses.

Watch here full conversation ,

Cheers,

RVD