So by now; you may read many version and definitions of what's the edge for successful retail "investors"?
First thing first; he doesn't add a single cent as additional capital since Jan 2000 when he became a very determined DIY retail investors.
So what is Uncle8888's edge?
10 years yearly Goals; plan and re-plan; think and re-think; strategize and re-strategize; refine and refine; track, measure and see its performance.
He answered to nobody!
At the end of day; the outcome and result truly matters. The rest is just theories and concepts and good for teaching and earning some teaching fees.
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This also highlights the large element that Luck plays in investment or speculation outcome. Becoz you can spend hundreds of hours (or just 1 minute) putting in the efforts to analyse, strategise, calculate, formulate. And at end of day, hopefully got 2 or 3 stocks out of 50 or 100 will carry you through.
ReplyDeleteAnd it's really thanks to GFC and -60% drops in the stock markets around the world that enabled me for early retirement.
That's why I always tell my bosses I rather be lucky than good!! Heheheh!
CW,
ReplyDelete8 immortals cross the Eastern Sea!
Each doing their own way ;)
"First thing first; he doesn't add a single cent as additional capital since Jan 2000 when he became a very determined DIY retail investors"
For the sake of clarity, this statement is about you right?
You even more power!!!
From age 32 to 44, the main source of growth for the investment side of my portfolio was my day job. Especially the 7 years when I was away - most expenses paid by "ah kong" mah!
I bow in respect ;)
Know when to cut lost, know when to go in again. That's how GFC secured my retirement at 40. And all this using bei kambing UTs. :)
ReplyDelete"It's the man, not the machine." -- Chuck Yeager :) :)
temperament,
ReplyDeleteWow! I remember the story your quoted!
I not sure whether its your Google skill or you bookmark every article of interest, but I'm impressed with your library of stories and articles!
When young and with less to lose, of course its easier to go all-in or show-hand!
In 2009, you were 62. Why take the full throttle risk and be 100% vested in equities when in an alternative universe, we could just as easily have ended up like in Japan where after 30 years, its still below its all time high...
If the 70 plus US couple had bought the Nasdaq Index ETF at its high at around 5,000 points during 2000, it will take 15 years for the couple to break-even.
So even if they didn't "lose" money after 15 years, pray tell what they were supposed to live on from 70 to 85?
At 70, even if you doubled or tripled your networth, would it make a difference to your current lifestyle?
Unless you interested to have one last fling with Xiao mei meis?
LOL!