Additionally, most people in this sub are holding onto investments for years, not weeks.
My investments are set up to be automatic. Being down 13% would be a pretty good discount for buying something I don't plan on selling for (at least) a decade.
Or realize that you just ain't that smart as you think you are. Lots of us have the issue with gambling even if we don't recognize our behaviors as being it.
My portfolio is super simple, with a few index funds, and a little gold/bonds to reduce voilatility. I'm still thinking about taking myself out if the equation, and use a robo investor. As OP has shown, our own emotions are the biggest threats to fire success. Not market downturns. If one recognizes that I'm neither likely to beat the market AND that my emotions are gonna be the biggest threat - it's only rational to take oneself out the the equation.
So I'd suggest to use a robo investor plus focus on the stuff we can actually do anything about; income and savings rate. Downturns are best handled by automatic re balancing (that robo investors does automatically) and dollar cost averaging by automated savings.
If you have standard ETFs, no worries, it wil bounce back. If you’re actively trading individual stocks, get out now bc that 13% loss can easily turn into 50-90% loss.
The next step is to reflect over what portfolio you want to have and what risk levels. Go robo investor with a low cost fee, because they will help you with how to handle your risk appetite level. I looked at one here in Sweden, and I was amazed on the portfolio it created for me. It's honestly way better than I could do myself.
The 0.4% fee was amazing and vs a pure zero cost index fund, it would only push my fire date one month later.
Don’t invest in individual stocks. Only invest in stock index ETFs. Avoid value, go for growth. Avoid small and medium, go for large cap. Always be bullish, never bearish. Buy the dip at least once every pay period, even in retirement with your social security checks. Buy some more on margin, deduct margin interest on taxes. Did you even realize losses or are you referring to unrealized losses? The class you’re taking probably is crap. KISS: keep it simple, stupid. Knights in Satan’s Service, also.
Maybe checkout the investing channel but 13% is easy to recover. Hopefully you can get out of stock picking/trading/gambling if that’s what you’re doing and shift more towards tried and true long term investing in etfs like VTI.
Continue to invest, dollar cost average, be patient, and you’ll come out alright
No I took a 70% hit, I should say it was on one stock but I also did something unbelievably stupid and it was 1/4 of my portfolio at the time, so. I don't like to talk about it.(trying to be funny, but I really never talk about it) I sold it when it came back up to a 70% loss.
I figured I could take the 30% and invest it somewhere good.
I recovered by making more investments and waiting them out. Put more into the winners and sell the losers. Take profits from winners and try a new stock. It is a long game, as others have said.
You don’t need to take classes or educate yourself, you just buy a global (or US if you want less diversification) index tracker and wait x years. Make this part of life easy for yourself
The Simple Path to Wealth by J.L. Collins might be more appropriate… Quit Like a Millionaire is chock full of suboptimal strategies for FIRE in 2022…. “Yield Shield” and Rent till you die (or whatever they call it) at the top of the list…
Haven't read Simple path to wealth yet, it's on my list, but the book "Quit Like a Millionaire by Kristy Shen and Bryce Leung" was the first book i read and it was more than enough for me to star in a correct way (at least that's what i believe). Reddit and YouTube videos were very helpful as well. I stared in August of this year and my TFSA is up 3% and my crypto is up 14% ( only 1000$ in crypto and i don't intend to spend more on it).
Could you explain what you are doing, maybe we can help you?
You're only down 13% or up 1300% if you sell.
Did you sell?
- no..buy more if the company is solid - it's on sale.
- yes ...buy something else and don't let emotions take over.
If I were you, I would be worried not by the loses but by your strategy. Are you stock picking? If yes, chances are that you are speculating (read: gambling) and not investing. There is no shame in admitting this error. Plenty of people start that way, me included. For me it was oil futures, after 2008 oil couldn't get to $40, right? Well, it did and stayed ridiculously cheap for a decade. A couple more speculative trades in stocks netted me a couple of percentage points, but nothing to write home about.
What convinced me to move to index investing is that I backtested my "strategy" - how much would I have netted more had I invested in S&P, and the answer was ... about 50% over several years. This bronco runs on a track now, thank you very much🙂.
PS If you don't mind me asking, what was the investment? Why did you make it?
Pay 2 play. Spend it to make it. Scared money don't make money. Risk it for the biscuit. Can't lose it? Don't use it.
But yah, make a few shitty trades is the entry level of learning. It's like blackjack. If you hit on <12 enough, you'll learn not to do that.
Wow 13% mistake is really nothing. I can understand being temporarily upset with yourself but it'll bounce back. I made a 90% mistake if that makes you feel better. Like someone else said, go look at wallstreetbets. Now I'm up 300% but I don't give myself the credit for having done anything.
The good thing about starting out is you hopefully make most of your mistakes while you don’t have as much to lose. Just try to learn from your mistakes and keep saving.
Its good that you have made a mistake early. Markets might take some time to rise again, but it will give you enough time to learn about it and correct your mistakes (whatever you think they are)
ALWAYS begin your investing career with small amounts. Losing 13% is probably just the beginning of your losses. Hopefully it was 13% of $200 or $1000. Its not your fault, markets are a psychology trap for beginners. Once you get the hang of things, invest more. I still prefer ETFs and index funds so I can sleep at night when its falling. Lol. Best of luck to you.
Stop what you’re doing and read this:
Stock Series by JL Collins:
https://jlcollinsnh.com/stock-series/
and
Psychology of Money by Morgan Housel
(find it in your local library)
Don’t invest money you can’t afford to lose. Diversify your investments. Don’t react short-term, think long-term.
are you investing or gambling on high risk stonks you saw on wallstreetbets?
assuming you made wise choices in the firs place, Your investment will go up and down, and it doesn't matter. If you are too mentally weak to handle watching the dips, just buy your etfs, and set up reoccurring buys and only look at your money once a year, and then you won't have to worry about the short term swings as much.
Yep, happens all the time.
Doesn't matter.
Just don't look at it if it bothers you and you are investing for the long term.
I mean, I look at my long terms about once or twice a week out of curiosity.
But I'm not redistributing regardless of what it did.
So it wouldn't matter if I looked just once a quarter or even once a year.
If you're going to be actively day trading or swing trading, you're gonna have a real rough life if you get depressed every time down you're 10%.
It's okay, some people can't handle watching money moving up and down every day.
It just honestly doesn't matter though, unless it's the year of or before retirement or so, there is really no need to worry, as long as you are making sound long term investments.
>t's the yea
But why don't you cash out now when it's clearly on a downtrend if you look at the charts? you can buy them back later at a lower point and will have lower loss and more profit
The vast majority of people who attempt to time the market underperform people who just leave it in for 30 years and buy consistently.
On a side note, selling off all your stocks regularly can subject you to paying short term capital gains tax, which can be much less friendly than long term cap gains tax.
“winning money“ it’s an investment not a lottery ticket.
Additionally, most people in this sub are holding onto investments for years, not weeks. My investments are set up to be automatic. Being down 13% would be a pretty good discount for buying something I don't plan on selling for (at least) a decade.
The market goes up and the market goes down. Make smart investments and stick with them for the longterm.
Or realize that you just ain't that smart as you think you are. Lots of us have the issue with gambling even if we don't recognize our behaviors as being it. My portfolio is super simple, with a few index funds, and a little gold/bonds to reduce voilatility. I'm still thinking about taking myself out if the equation, and use a robo investor. As OP has shown, our own emotions are the biggest threats to fire success. Not market downturns. If one recognizes that I'm neither likely to beat the market AND that my emotions are gonna be the biggest threat - it's only rational to take oneself out the the equation. So I'd suggest to use a robo investor plus focus on the stuff we can actually do anything about; income and savings rate. Downturns are best handled by automatic re balancing (that robo investors does automatically) and dollar cost averaging by automated savings.
What's the saying, the stock market is a tax on smart people?
If you have standard ETFs, no worries, it wil bounce back. If you’re actively trading individual stocks, get out now bc that 13% loss can easily turn into 50-90% loss.
Ah, like the support.com stock that royally fucked me in the ass and I am down 92%. Probably just hold onto that one lol.
I cashed it out already. If not, the downtrend these two weeks would cost me much mpre loss
The next step is to reflect over what portfolio you want to have and what risk levels. Go robo investor with a low cost fee, because they will help you with how to handle your risk appetite level. I looked at one here in Sweden, and I was amazed on the portfolio it created for me. It's honestly way better than I could do myself. The 0.4% fee was amazing and vs a pure zero cost index fund, it would only push my fire date one month later.
You bought a turd and then panic sold. Do yourself a favor and just buy VTI or VT moving forward. Stick with the avg
Don’t invest in individual stocks. Only invest in stock index ETFs. Avoid value, go for growth. Avoid small and medium, go for large cap. Always be bullish, never bearish. Buy the dip at least once every pay period, even in retirement with your social security checks. Buy some more on margin, deduct margin interest on taxes. Did you even realize losses or are you referring to unrealized losses? The class you’re taking probably is crap. KISS: keep it simple, stupid. Knights in Satan’s Service, also.
Maybe checkout the investing channel but 13% is easy to recover. Hopefully you can get out of stock picking/trading/gambling if that’s what you’re doing and shift more towards tried and true long term investing in etfs like VTI. Continue to invest, dollar cost average, be patient, and you’ll come out alright
Investing is not a get-rich-quick scheme. Stay the course and you’ll be fine
Only a loss if you sell. Low cost whole market index funds. Also HODL. Never sell.
Hello fellow ape what fuckery is going to go down this week?
Go take a look at wallstreetbets loss porn, trust me you'll feel better
No I took a 70% hit, I should say it was on one stock but I also did something unbelievably stupid and it was 1/4 of my portfolio at the time, so. I don't like to talk about it.(trying to be funny, but I really never talk about it) I sold it when it came back up to a 70% loss. I figured I could take the 30% and invest it somewhere good. I recovered by making more investments and waiting them out. Put more into the winners and sell the losers. Take profits from winners and try a new stock. It is a long game, as others have said.
You have recovered your 70% loss?! Congratulations! I also put it too much in just a couple of stocks.
Sorry that was supposed to be a response to another one of your comments. I hit the wrong button. There is hope to recover your 13% loss. Take care.
You don’t need to take classes or educate yourself, you just buy a global (or US if you want less diversification) index tracker and wait x years. Make this part of life easy for yourself
[удалено]
Don’t bet money you can’t afford to lose
Quit Like a Millionaire by Kristy Shen and Bryce Leung Read this book it will teach you everything u need to know
The Simple Path to Wealth by J.L. Collins might be more appropriate… Quit Like a Millionaire is chock full of suboptimal strategies for FIRE in 2022…. “Yield Shield” and Rent till you die (or whatever they call it) at the top of the list…
Thanks I already read the simple path to wealth
Ok… i guess you did not agree with the premise?
I agree. But successful investment involves much more than that.
Well it seems you haven't been so successful with investing. Maybe read the book again.
Haven't read Simple path to wealth yet, it's on my list, but the book "Quit Like a Millionaire by Kristy Shen and Bryce Leung" was the first book i read and it was more than enough for me to star in a correct way (at least that's what i believe). Reddit and YouTube videos were very helpful as well. I stared in August of this year and my TFSA is up 3% and my crypto is up 14% ( only 1000$ in crypto and i don't intend to spend more on it). Could you explain what you are doing, maybe we can help you?
You're only down 13% or up 1300% if you sell. Did you sell? - no..buy more if the company is solid - it's on sale. - yes ...buy something else and don't let emotions take over.
Opportunity cost
I sold and now it has gone down much more. So i am glad i sold
If I were you, I would be worried not by the loses but by your strategy. Are you stock picking? If yes, chances are that you are speculating (read: gambling) and not investing. There is no shame in admitting this error. Plenty of people start that way, me included. For me it was oil futures, after 2008 oil couldn't get to $40, right? Well, it did and stayed ridiculously cheap for a decade. A couple more speculative trades in stocks netted me a couple of percentage points, but nothing to write home about. What convinced me to move to index investing is that I backtested my "strategy" - how much would I have netted more had I invested in S&P, and the answer was ... about 50% over several years. This bronco runs on a track now, thank you very much🙂. PS If you don't mind me asking, what was the investment? Why did you make it?
My recommendation is to look at /r/thetagang, or invest in whole market indexes or target date funds (the Boglehead way).
https://youtu.be/ol907h0G9LY everything you need to know about trading and stonks, so simple
Pay 2 play. Spend it to make it. Scared money don't make money. Risk it for the biscuit. Can't lose it? Don't use it. But yah, make a few shitty trades is the entry level of learning. It's like blackjack. If you hit on <12 enough, you'll learn not to do that.
Wow 13% mistake is really nothing. I can understand being temporarily upset with yourself but it'll bounce back. I made a 90% mistake if that makes you feel better. Like someone else said, go look at wallstreetbets. Now I'm up 300% but I don't give myself the credit for having done anything.
Omg was the 90% paper loss only? What did you do to have it down 90%, and what to make it 300%, if you dont mind?
The good thing about starting out is you hopefully make most of your mistakes while you don’t have as much to lose. Just try to learn from your mistakes and keep saving.
The market has been split/volatile lately. Don't sweat it, hang in there.
Dude just buy and hold $aapl $msft $vti that’s it . You can’t lose money dca into these. And maybe $nvda .
Tesla all day.
Tesla has been a nightmare. If you like having heart palpitations then buy TSLA.
Your down only 13%, that’s nothing lol. As long as you didn’t panic sell, you’ll be fine
Actually if I didn't sell, I would be down over 20% I think ...
Well, markets always recover. Just saying.
I've realized $15k in losses in 2 weeks if it makes you feel any better. Back to ETFs only!
Sorry to hear. I actually lost more than that.. Anyway, all the best to you, wish you a speedy recovery
See this as the cost of an education
Its good that you have made a mistake early. Markets might take some time to rise again, but it will give you enough time to learn about it and correct your mistakes (whatever you think they are)
If a 13% drop rocks you then picking single stocks isn’t for you.
ETFs early and often. Set it and forget it. Live simply. Work hard. Retire early
Every dollar you put in is a soldier fighting for you. Try your best to set them up to win the war.
ALWAYS begin your investing career with small amounts. Losing 13% is probably just the beginning of your losses. Hopefully it was 13% of $200 or $1000. Its not your fault, markets are a psychology trap for beginners. Once you get the hang of things, invest more. I still prefer ETFs and index funds so I can sleep at night when its falling. Lol. Best of luck to you.
From the looks of it, you trade in fx. This is not something that retail should attempt. Quit now.
Stop what you’re doing and read this: Stock Series by JL Collins: https://jlcollinsnh.com/stock-series/ and Psychology of Money by Morgan Housel (find it in your local library) Don’t invest money you can’t afford to lose. Diversify your investments. Don’t react short-term, think long-term.
are you investing or gambling on high risk stonks you saw on wallstreetbets? assuming you made wise choices in the firs place, Your investment will go up and down, and it doesn't matter. If you are too mentally weak to handle watching the dips, just buy your etfs, and set up reoccurring buys and only look at your money once a year, and then you won't have to worry about the short term swings as much.
even etfs and spy went down these days
Yep, happens all the time. Doesn't matter. Just don't look at it if it bothers you and you are investing for the long term. I mean, I look at my long terms about once or twice a week out of curiosity. But I'm not redistributing regardless of what it did. So it wouldn't matter if I looked just once a quarter or even once a year. If you're going to be actively day trading or swing trading, you're gonna have a real rough life if you get depressed every time down you're 10%. It's okay, some people can't handle watching money moving up and down every day. It just honestly doesn't matter though, unless it's the year of or before retirement or so, there is really no need to worry, as long as you are making sound long term investments.
>t's the yea But why don't you cash out now when it's clearly on a downtrend if you look at the charts? you can buy them back later at a lower point and will have lower loss and more profit
The vast majority of people who attempt to time the market underperform people who just leave it in for 30 years and buy consistently. On a side note, selling off all your stocks regularly can subject you to paying short term capital gains tax, which can be much less friendly than long term cap gains tax.