AMA Investment Moats
Asked on 21 Aug 2018
What was the takeaway from the decision you made?
The big one is to listen to too much doom and gloom advice. That is before 2007. And then when the time comes failing to execute and losing my head in the process.
After that, you just became so cautious because every draw down in the markets feels like a 50% draw down coming.
Due to that, I failed to stay in the markets. When you fail to stay in the markets you might missed out on losses. But you also incurred alot of opportunity cost of what it could have been.
I could certainly reach my objective 2 years earlier had I not have that overhang.
Having said that, we might always learn the wrong lesson. I think for myself, it is to understand that in the markets, markets tend to be positively skewed most of the time, and that the negative portion tends to be more swift. So plan your decisions accordingly.
Don't be 100% in cash, be 100% in equities when general market valuation metrics become more attractive. If you are either 100% or not 100%, psychologically you feel that urgency to do something.
If you have purchase a group of stuff you would want to hold for long, your brains won't be so frantic to make a move. There might be a tendency to make rash decision there. Always be prospecting stocks. When you have a wider pool of opportunities, you won't be scared to miss out on something you think it's a once in a lifetime opportunity.its good to have alot of great opportunities then one
Yes, IPO for XMH Holdings. Went into it near the start of my foray into investments and didn't know better. Stock tanked, and even went into a 4-1 consolidation... Still held on as a reminder to myself to never get into IPOs of companies that I don't know about or have done much research on.
Also regretting selling puts on SPY 3 years back. Should have trusted my gut and bought the put and not sold it.
When I was a newbie, My Broker (who left the brokerage) called me on mobile and ask me to buy a stock.
No black and white evidence.
He knows my buy limit is 7 digit so ask me to buy the stock saying the stock will moon.
I wanted to buy but I forgot my password and could not login and got lock up so I did not buy.
As a newbie, I didn't call the brokerage to reset my password.
I believe in Destiny and if I can't buy there is a reason.
From tt day onwards, I nv see tt stock raise ever again.
With what I know now, I will be buying from him if I did login and buy.
I regret listening to my broker but glad Destiny is with me.
Buying endowment plans with the banks and not comparing insurances before buying! Always remember your main purpose of going to the bank. If it is just to open an account, just open the account and not get plans that bankers sells you. Unfortunatly, most of the time plans sold to you at the banks are not what you need.
Regretted investing in an ILP that is too high in fees and charges, underestimated the costs only after a few months in-force. Have terminated it after a year with a loss. Took it as a stop-loss with lesson learnt and move on.
There is a lot of mistake I made along the way. And all the mistake make me more aware and improve my decision making in my investing journey.
For example, "Following" Gurus, "Following" Buy/Sell Call, Rush into Investing because fear of missing out.....
Always do my best to make a concious and independent decision at the moment. Although I may not cover every blindspot at the moment, at least I did my best base on my personal decision.
Everyone could have different results, and at different pace, so it is ok that my portfolio didn't grow as fast.
I enetered Genting a few years ago with my broker advice
lost about 1k
Yes. Not doing my research properly, and following my emotions to buy/sell.
Takeaway: always do your research. and DO NOT be greedy when the markets are being greedy. you'll burn your own hand.
Yes buying a tech stock In the US market then the company just went downhill
if I were to decide again I would invest in a company that pay dividens instead
Yes. It's that I brush off financial consider too difficult and didn't start young.
If able to turn back time, I would have tell the high school me to start now, starting savings, learn how to read financial statement and learn how to ask to open CDP account and start investing rather than wasting time doing / pursuing anything else.
Nevertheless, it's never too late better than never.