Thursday, 10 August 2017
Two Common Investing Regrets Among Retail Investors
After more than 17 years of following investors' comments, postings, chats, and face to face talks with fellow retail investors; Uncle8888 has noted two common investing regrets among RETAIL investors.
(1) They sold their potential multi-baggers way too early for decent profits.
(2) They never sell their stocks at the high.
Most retail investors will eventually make either (1) or (2) or Both.
As Uncle8888 has done both i.e. (1) and (2) so he can feel which investing regret is the lesser evil over 20 to 30 years of market cycles as retail investors.
Which is the lesser evil?
(1) or (2)?
Once SOLD; it is GAME OVER! That is why selling is more difficult to master. Who has the skills to sell that many stocks near the high?
If you know someone can consistently do that; then he or she is the champion retail investor like Joseph Schooling in swimming.
For 2, you have missed selling them near the high; how bad can it be?
How much have you missed out?
The answer will lie on your yield on investment cost.
If your yield on investment cost is high single digit or double digits; then over the next 15 to 20 years of receiving cash flow from dividends?
How bad can it be?
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CW,
ReplyDeleteWell, your 3 powerpoints show in 2 out of 3 cases, it better to sell near the highs ;)
Don't hit the face!
LOL!
Me not Joseph Schooling in investing. Otherwise can coach 1 to 1 at $100 per hour. Lol
DeleteCW,
DeleteThat's what I like aobut you - refreshingly honest!
And can take feedback and pokes ;)
LOL!
Hey Uncle8888!! Waah, looks like a great eating & exploring holiday!! :)
ReplyDeleteHmmm (1) or (2) is the lesser evil??
Depends lah ... Which ever one loses you the least money!! Hahaha!!!
Once sold -- > Game over??? But can always buy back in mah...
Unless you're trying to achieve super-duper yield on cost --- which may not be worth it for some stocks or assets...
Then there are those who take out initial capital once their investments have achieved a few bagger-status ... and let remaining invested positions ride the markets ... *wink* *wink* Kekekeke!!!
As for me, of course plenty of investing / speculating regrets!! Hahaha!!! Live & learn!!
Hmm ... For both cases how to lose money? May be (2) still possible
ReplyDelete