Sunday, 21 September 2014
Why retail property investors are easily richer than retail stock investors???
Being right or lucky once!
Just being right or lucky once. It is common that retail property investors can realize their investment gains from $XXX,XXX to $X,XXX,XXX. The power of leverage will uplift the retail property investors to greater height when they are right or lucky once.
But, for retail stock investors, we know that they will not normally use leverage for stock investing. It is just too scary to do so. Stocks can crash to zero. Don't pray, pray.
So how rich can retail stock investors become when they are right or lucky just once?
a) $X,XXX to $XX,XXX?
b) $XX,XXX to $XXX,XXX?
c) $XXX,XXX to $X,XXX,XXX? (like retail property investors)
How rich can retail investors become with their 10-bagger?
What do you think?
a, b or c?
For retail stock investors, you need more than being right or lucky once. You also need to be right again on your position sizing.
Your size of war chest can't depend on your luck!
You don't think so?
You disagree ah?
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Always enjoy your sharp and truthful look at the fundamentals of investment. Enjoy your Sunday! :)
ReplyDeleteHaze is gone. Sunday is bright and hot now. LOL!
DeleteCW8888 : I guess it is pretty much depending on the invested capital and the period that we are talking about, so it could be a,b, c or d (which is at a lose). ;-)
ReplyDelete