News sounds and feels more like Noise these days. The skill does not lie in reading the news papers, but in knowing how much to ignore. When I get research reports (I get 3 a day!) – I have to skim the reports to look for the facts. Too much opinion in reports makes it difficult to read!!

Even when you are doing some serious reading a clickbait can pull you away. Some new pic of some film star or sports person..can pull you. It is now becoming difficult to concentrate. The best thing I like about reading a book is that there are no distractions. Assuming of course that you have kept your phone far away and refuse to respond to every beep. That is another problem about news consumption.

Close your eyes and think what were the 4 ‘India must know’ discussions that you watched. Then think how important it was in your life – or it is in your life. You realize that it was sheer noise. Ditto in financial news. Most of the news is meant to titillate and that they do well. It is too much. They have shaped your view and my view – pharma is dead, IT is dying and the business to be in is Financial services. I can bet that if you see in 2020 Dec, you would have realized that 2017 dec was perhaps a great time to sell financial services and buy pharma…(sorry, just an example). Most writing by experts is for you to take action – the action of calling him!! So when you Swaminathan Iyer write about NaMo or Rajdeep Sardesai talk about anything, you need to see what game they are playing. Are you playing the same game?

You and Rakesh Jhunjhunwala are in the same game of equity shares, right? Now wait a minute – you buy 200 shares, have a 6 month view on a share. He buys 2 million shares and claims that he has a 6 year view on the company. Think hard, are you in the same business? No. He could be an investor in 1.5 million shares and a trader in 500,000 shares. So what he does (which you do not know) is irrelevant for you. Persons reporting on what RJ is doing may be guessing! The writer needs a story. RJ wants media presence – never hurts. You need a sensible narrative to invest in some company. Complete contradiction of what you need and what is being served. Just when you are seriously reading this stuff you are distracted by a Virat Kohli marriage picture. End of reading.

HOW DOES THIS HELP? Of course, it does not.

So as Munger says read contrary views. I try my best to read about NaMo’s critics. Counter view is useful. I read a news magazine (limited circulation, by invite) which criticizes portfolio choices of big fund managers. I hear stories about fund managers ego which prevents grass to grow under a banyan tree. It helps. The so called heroes crumple before you.

Reading books is far better than reading news. If you must read financial news, write down what you understand. In 3 weeks read it again, and see whether it was relevant in your life or in your portfolio.

If your answer is NO, change your reading habits.