There is a lot of confusion out there on the topic of diversification when it comes to growth investing. The common theme is that when investing for growth, concentration is good but not diversification. While concentration is important diversification is also just as important.
The law of supply and demand is probably a term you have heard of but not sure how it works. In this post, I’ll be breaking down the supply and demand economic model to identify how it applies to the stock price.
Many beginning investors make the mistake that the price of a share matters a lot. In reality, the price of a share doesn’t matter all too much at least by itself. Large numbers might make a company seem more valuable but it is very possible that the company is less […]
Risk management is the Achilles’ heel for many investors. Without proper risk management profit will come and go. Maybe you have experienced such a scenario yourself and are looking for information on how to do risk management. In this post, I’ll go over topics about mindset and what to do […]
The valuation of a stock will always matter in the end. There could be a period when the price is getting ahead of itself, but eventually, the price returns to the means. There are many factors that affect the valuation of a company’s stock. In this post, I’ll be going […]
You probably read the title of this post and thought it is so obvious. All you do is buy when the price is low and then you sell it for higher. Despite how simple the statement seems, there is actually a lot to unpack. To successfully execute buy low and […]
In a world where everything needs to happen close to instant, delayed gratification is a concept that is lost among many. Getting instant gratification for action is the expectation nowadays among investors in the stock market. This leads many to take profit immediately, which significantly hurts their return in the […]
If you research into how wealthy individuals get to where they are you’ll most likely find that they have made some “asymmetric bets” in their lifetime. These asymmetric bets could have been investments and/or starting their own businesses. A series of successful asymmetric bets can compound into an incredibly large […]
When it comes to investing and trading one of the most important things is risk management. Without proper risk management, you can completely blow up your investment portfolio. Or it can lead you to have inconsistent results. It’s not a great feeling when you break even after years of investment.
Profit taking is an acquired skill. Most early traders or investors struggle with profit taking. Sometimes, after taking profit, the price keeps going higher, making them feel like they’re missing out. Other times, they don’t take profit then the price crashes and they lose all their profits.
