Read? How to become rich in stocks??? (25)
Read? Don't Count Yourself As Winner (Too Early) If You Are Still Investing!
"Come and think of it, since it is a life-long journey, does it means that if you invest in stocks continuously until your last breath (touch wood), does it means that you will never be a true winner (or loser) of the game? Errr... I think so, at best, you can consider yourself an interim winner/loser (those cash out the profits/losses along the way). So, who will be the real winner/loser of the game? My answer is : those you are passing your legacy to. ;-)" - Richard, Invest Openly
Who is the real winner as long-term investors?
Proudly to declare the real winner is ....
Someone like Uncle8888!
Free tutorial lessons from Uncle8888
As long-term investors, we will be holding on to our stocks across market cycles of Bull and Bear. In the Bull markets, we didn't sell to realize the gains so in the Bear markets, it will become too silly to sell since we should have realized those gains during the Bull Run.
So can how we as long-term investors be the real winner in the stock market without selling?
As long-term investors, the daily stock price fluctuations across market cycles are nothing more than unrealized paper gains or losses. We can't really do much unless we want to realize these paper gains or losses to end the game.
So as long-term investors, how do we win?
A higher level of winning is Growth-dividends.
Do not just focus on dividend yield.
We must focus on both dividend yield and dividend payout ratio at the same time. This is the higher level of winning for long-term investors.
See Uncle8888's worked examples of real winning stocks.
You may want to take a look at it and tell him how to lose when he has taken back the initial investment cost from many years of receiving these dividends and choose to continue the game in future market cycles of Bull and Bear.
The only thing you can laugh at him.
"Uncle, you could have been richer if you are smarter!"