Sunday, 23 August 2015

Don't lose too much even it is paper losses as it can be very hard to recover those paper losses without pumping in more new capital from your saving.


The Law of Large Losses!




7 comments:

  1. Does anyone see the risk of average down to get even with Mr. Market to prove him wrong?

    ReplyDelete
    Replies
    1. CW,

      I didn't have the heart to tell our young MBA friend his math is "wrong".

      You are more subtle.

      LOL!

      Delete
  2. Lol improve the chart a bit, add time factor to break even and the triangle is not isosceles but closer to right angle.

    ReplyDelete
  3. This comment has been removed by the author.

    ReplyDelete
  4. This comment has been removed by the author.

    ReplyDelete