Lose all your money with 4 painful lessons
As a 2k, again a student of Finance, but my experience of investing money is also “painful” to know. I will list the mistakes I have made in each stage when I first started investing and the lessons from them.
Lesson 1: The dose is not sure to eat much
When I was a freshman, besides going to school, I got a part-time job by the hour. From sharing with many friends with reasonable expenses, I have saved quite a bit of money to spend during three months of hard work. Thanks to the recommendation of my friends and co-workers, I decided to invest my accumulated assets… stock.
With the stock market in 2018 not as exciting as it is today, plus a rather vague knowledge of the market, I’m like a parrot learning to talk. Seeing that everyone was rushing to open an account, I also opened it, seeing what code you invested in, I also jumped in to buy it in the hope of making as much profit as possible. However, with limited savings, I could only buy 2 stocks with an average price of 13,000 – 20,000/share without any research or research.
But alas, right after the order matched, the whole red market, VN-Index and VN-30 all dropped, making me shocked all over, since then the stock price of the 2 stocks I bought also dropped like a brake, the amount of money I save up to 30-40% evaporation. Looking at the red account like a hibiscus flower, my heart is restless and can’t eat or sleep.
Conclude: The dose is not certain, and if you want to invest, you not only need to spend money and wait for profits, but also need time to learn and understand the market. At the same time, investors need to learn how to manage emotions, be consistent and alert. apple, avoid the psychological effect of FOMO (psychological effect when stock players compare themselves with others, fear that they are out of the game and frantically invest in the crowd) make themselves come up with bad decisions and risks.
Lesson 2: Take your money, don’t let it fall
Having learned from the previous investment “lost to the moon”, I began to be more cautious. After cutting losses in securities and continuing to work overtime to accumulate a new amount, I went to open a savings book.
With the mindset of eating well and wearing durable clothes, I found that opening a savings book at that time was appropriate, with an annual interest rate ranging from 5 – 5.5%/year. I think that’s very reasonable, at least if the market or the economy fluctuates, the money will not be lost, if the interest is lower than expected, the principal is still there.
Besides, she was advised by her aunts to invest in gold because “gold only has increased in price, never seen gold decrease, buying only profit”. I researched the market and it is true that the gold price has always had big fluctuations over the past 10 years. With such enthusiastic advice, I rushed to buy… a 1.5-only gold chain.
However, for the form of savings book, even though the money is not lost, the profit margin is not much better, adding that the bank requires depositing with a minimum term of 6-12 months, making me happy. Unable to withdraw money when needed.
As for the gold investment form, because the gold I buy is a type of jewelry, usually gold shops often charge an extra fee for crafting (worker’s fee), and at the same time, gold jewelry should cost a lot of depreciation. Not only did I not get any profit, but I also lost the manual fee.
Conclude: You should choose an investment form that suits your expectations and the money you have, don’t “try to eat sticky rice” in the form of investment where you have no chance to profit or make a profit from it.
Lesson 3: Divide wine evenly
With many investment channels experienced, it is possible to determine a low level of risk but want good profitability. So when I had 10 million in hand, I decided to go back to the stock market, analyze the market and choose blue-chip stocks (stocks issued by companies with large market capitalization), after When analyzing the market and making sure the entry point, I decided to pour all my savings into a single blue-chip (priced at more than VND 90,000/share).
After buying for 3 weeks, I discovered that many penny stocks (small par value securities launched by small-cap companies) have better growth potential but the average price is at a lower level. low to medium (from 7,000 – 40,000 VND/share) but it was too late when I poured all my savings with only one code. I’m so sorry, but there’s nothing more you can do.
Conclude: Should allocate a reasonable investment account, can divide investment ratio 60-40 or 50-50 for the ratio of blue-chip – penny stocks.
Lesson 4: Take a good day to learn… a little.
Although knowing that profit is the concern of many investors, especially young people, however, with immature experience and no big view of the market, many young people have lost a lot of money. I spend my money, effort and time just to look forward to every penny of profit I have invested.
For me, investing, whatever form it takes, has brought many valuable lessons about financial management, cash flow, and new and better goals. Therefore, I think that the new investment stumbles are inevitable, the important thing is whether you can learn the lessons and how to overcome them.
Conclude
Again and again, for students or new graduates, profitable investment is possible, but with a small amount, you should reasonably allocate it for both spending, saving and investment, at the same time. Take the time to learn about the market, choose investment forms and come up with investment strategies that are suitable for your risk tolerance. And most importantly, investing is a long road, requiring hard work, patience and even knowing how to seize opportunities!
at Blogtuan.info – Source: Kenh14.Vn – Read the original article here
