Return to making money (again)
Money| February 17th, 2009What are the top two mistakes all investors make (actually tied for number 1)?
That’s right. As an investor you hold on to a sinking stock and as in investor you do not hold onto a sinking stock. WTF? You can click on the two reasons to take you to respective articles supporting both. I am not a trained stock trader or broker and I am not advocating any particular stocks. Nor am I telling you to hold, buy or sell what you currently have. I just find it fascinating that the most common mistakes made are contradictory.
There is a saying, you can’t gain anything if you don’t risk anything. Similarly, don’t let the fear of striking out keep you from playing the game, even a blind squirrel finds an acorn every now and then, Money in a mattress only collects dust mites and fleas, and well you get the point. Everyone has a saying that can be related to investing. Who is right? The experts that tell you to hold onto your money? The ones that tell you to sell your stocks when they drop? The ones that tell you not to worry and to hold on to them and possibly reinvest more money as the drop?
The award for most in need of a frontal lobotomy this week goes to stock brokers and money managers.
One Response to “Return to making money (again)”
March 9th, 2009 at 4:43 pm
yea this can get funny.Its a matter of knowing the market,I personally like to compare it with playing poker. you need to have a lot of money to play and stay in! when you invest a stock in a solid company like coca cola, you shouldnt worry if your stocks drop dramatically, and in fact you can buy more. I say this because the chances that the coca cola stock comes way back up are surly possible.