VS
I chanced upon an article or book (cant remembered which one) titled 'Successful people have no regrets'. Though I didnt read the article but I sort of agree with this statement.
Let me give you an example, during time like this when market was weakened due to potential Fed's rate hike and China stock market crash or any other reasons. It's a good time to buy the market right? Some people will be procrastinating as to 'when' is the good time or best time to buy stocks?
They are worried that if they buy too early, the stock prices could dive deeper due to more incoming bad business news. They want to avoid this and want to sit out and wait for the best time to buy. But what happens if they wait for too long and the stock market suddenly perform a V shaped recovery and they missed the boat? Well, there isnt any best time to buy.
So, when is the best time to buy? The lowest point of the dip and just before the stock market recovers? Well, I am afraid nobody knows when it will be the lowest point till it happens! ie the market recovers and stock analyst will say 'There! thats the lowest point' when its already happened and thats in the past, gone, opportunity lost!
Many a times, you will hear someone with full of regrets and say things like 'Aiya! I missed the boat! The market recovered and I thought its going to drop further!' or you rather be a successful investor with no regrets who will stroke on his chest and say 'Heng ah! Luckily I nibbled and bought some shares when the price was low'
Though I dont considered myself to be a successful investor yet, still learning to be one :)
I gathered that to become a successful investor with no regrets, you buy bit by bit and space out your buys. Some average down when their stock prices fall by a certain margin, others buy consistently across different time frame eg monthly. That way, you will buy some shares when the price is low. Of course, it may not be the 'best' price but at least you bought your targeted stocks during bearish market opportunities like this.
This is just one solution to at least buy bits of shares when market is down and next time when the market recovers, you will be patting yourself on your shoulder and uttered silently that you have done a great job :)
This downturn, I am going to take advantage of this opportunity and definitely not going to be the one who say 'Sh*t! I missed the boat!'
ReplyDeleteUnsuccessful investors also should not regret as they have tried but unsuccessful. :-)
long term investing can be unsuccessful?
DeleteMy late FIL who passed away @ 93 yrs old proven that long term (wrong term) investing can be very unsuccessful but his sons sold them at "profits". In another word, it can be successful for the next generation. :-)
DeleteJimmy,
DeleteGot anyone GURANTEE long term investing is "bao jiak"?
Promise or forecast - that's another story ;)
I regret not selling Jurong Tech at -50% loss :(
DeleteI lagi regret big time not selling Jurong Tech when it's at -90% loss!!!
For eventually Jurong Tech went to ZERO.
And that means no amount of waiting and hoping will this salted fish come back to life :(
Some stocks will never recover - got necromancer skill level 99 also cannot rescue. When a stock is kicked out of the SGX, must accept and let it go :(
Learning through experience is the most painful. And memorable! Won't forget the lesson one :)
Listening to CW and me tell stories you won't absorb it one. The pin no prick you; you won't feel the pain ;)
tell me about it haha
Deletei got then blue chip creative tech at $20+ and now its $1+
who say blue chip sure survive 1? haha
i think it bring us to the timing issue of 'when we sell our stocks' and declare that it is successful. if u sell now, confirm its unsucessful but if u sell few years later and then declare that you are successful haha
can we close both eyes and disregards our portfolio is in the -ve zone but still collecting dividends
like that is it successful?
Jimmy,
DeleteAh! The pin has pricked you too :(
Must learn from corporations in writing off dead inventories or goodwill they have overpaid in a bad acquisition.
Once we write it off, we can move forward.
And in the 0.01% chance salted fish came back alive, hey! We are pleasantly surprised :)
playing with accounting hehe
Deletestill its a safer bet on bigger caps like blue chips rather than small caps
at least SPH, Singtel survive for more than 10 years hehe
safer doesnt mean 0% risk hehe
I tends to buy monthly as my market timing is rather bad. So I Just Buy It Monthly. ;-)
ReplyDelete