The No.1 Investment Mistake You Do on or before 2009

[wealthyhead]

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this is what i'm talking about, please don't misunderstand me, thats the reason why wisdom is so important than anything else. coz without it others may mislead you in reality and in truth.

in the world of investing, financial intelligence is most important than anything else, without this we will never be a real investor. have a nice day!!!

I noticed that you always say you're misunderstood.

Does it ever occur to you that maybe you also misunderstood some people here?

I'm saying this again "Seek first to Understand, then to be Understood."
just an advice bro.

[lorenzoleo]

long term minimizes the risk bro.

"Financial security is not a dream, it's a priority"

[rusha84]

If I may just add to a healthy conversation of an excellent topic...

Investing, like any endeavor, is better if started with a plan...

And since we're talking of investing here, investing plans generally fall into these categories:

1. Security - this is the plan most people have if they are thinking of retirement or a child's education etc...People have "secured future" in mind when investing.

2. Comfortable - the main motivation of this plan is investing in such a way that can afford you ur comforts later in life...an example would be investing to buy a house or investing so u can afford ur desired lifestyle wen u retire...

3. Rich - u invest to become very wealthy

For the first 2 plans, the buy and hold strategy might be a good idea...Notice I'm saying "might"..This is because, as all of us know, we are in a financial crisis now...So proponents of this "conventional wisdom" are instantly telling everyone that they should buy while the prices are low...And this is just logical to a certain extent because u also have to consider that even major companies are being wiped out every second in this kind of economic environment. And as Bill Gates said, "All companies, even good ones will have its end...It's just a matter of when" or something to that effect...So, u still have to be very particular in choosing where to put ur money...
Also, in these type of investing plans, a financial planner might be a big help especially if u started in a financial mess then they would be a great help to get u back in track

The 3rd type of investing plan is the investing plan of the rich where the buy and hold strategy may not seem wise especially if ur only hoping for capital gains...Why Because too much of ur capital/money will be tied up for a long period of tym without any "reasonable" returns. This type of investing plan require knowledge, mindset and EXPERIENCE of a businessman to put this plan in place.....The best investor around is also an astute businessman for he has the necessary skill to spot an undervalued company with a superb management team...

So, before this healthy conversation turns sour...I would like to point out my observation lng ha...Essentially, wat everyone has been saying in this thread has a bit of truth to it... I guess its just that people don't fall into the same investment plan category and thus, the misunderstanding....

BUT don't take my word for this...lol It's better f u take the tym and effort to learn 4 urself And should u wish to look for a credible mentor...a word of advise...JUST FOLLOW THE MONEY...hehehe

[wealthyhead]

the key to success here is balance --> DIVERSIFY

[jess]

hehehe. a word of advice, hehehe, ask your parents what money mistakes they did before, and don't follow it. ask them why their business fail.why they wernt able to recover, why they dont have millions right now, why they wer badly in debt,why they dont have savings, why they dont have emergency funds, or stuffs like that. because "maybe", u might have inherited their mindset in a way, that would lead u to the same financial disaster/ruin few years from now. kindly check..hehehe

[young investor]

I just need to answer some Questions that have some possible answers.

One of our friends asks “do you think people will stop drinking beer in 2o years? My answer not all people will stop drinking beer but it’s possible that people will decrease in drinking beer. Actually the WHO says that now a days people are becoming health conscious, that one of the reasons why most networking companies are selling health products. So the answer is maybe they will not stop but the spending of the people in liquors will decline.

Another “do you think Ayala will go bankruptcy? My answer is yes, if you will read what happened to john Gokongwei ascendants, from rich to poor again. So much in the information age, that people now are learned and internet is so powerful to bring down a company as buffet’s said like a bomb or missile of mass destruction. You must be aware of what happening now all over the world.
i forgot, how about donald Trump? billionaire of US.

“Do you think SM will shrink? Definitely yes, it is possible. Have you research about Isetan and masagana, how powerful they are during their time?

“Do u think kids will hate Jollibee and declaring bankruptcy? They will not declare bankruptcy but possible that their company will decline. Why? Have you heard “TROPICAL”? Do you witnessed with your own eyes how powerful tropical before?

Another one, yes I can’t compare apple fruit to multivitamins, but don’t forget food supplement or vitamins derive from real fruits and their concept came from it.
Again, another one, I was shock when somebody said Lehman is not san Miguel. Heheheehe. Have you tried to investigate if san Miguel have stocks in SM , and have you heard what happened to SM when Lehmans was bankrupt? Have you any idea where the big companies here in our country invest their investment?

And the worst of all is somebody said “Philippine economy is different to US” gush! I think my friend you need more research before you coach somebody! You are not informed well. You don’t know who controls our economy and the economy of the world. I’m sorry to say but if I’m your student I’ll going to walk out in your class. To be coach we must be updated and know the financial mystery of the world and analyze the things to come. Forgive me for this.

if we want to be a good investors, we must be learned to what happening to our sorroundings, the history behind financial troubles and the connections of all things. i suggest in terms of investing in stocks dont go in long term. but in business of your own go for it.
this is my opinion.

[tenshimandy]

I believe it would be better if just share what's the best way you can help people who did not have much idea regarding this investment.I feel you all have knowledge..That good. Please do not argue who is better than other but try to think what people want to know..how..etc

You look so stupid elite investor exchanging opinions who is best investor.Do you really wanna help then share thing that may think that is good to learn.

[darkcrux]

Word of advice to @young investor... I think you really need to apply the phrase "Seek First to Understand then to Be Understood"...

Rather than arguing what's best... I think it would be better if you share your strategy.

@tenshimandy.. We better have patience with young investor.. at his age, it is quite common to be too idealistic.. sometimes to the point of almost blinded by his knowledge.

but yeah.. we are OT i guess.

Now back to topic:

Worst mistake I made during the crisis was that I didn't invest enough.. I was able to invest a small amount.. (It grew quite a lot in the past months).. now the prices are starting to go up..

[rts1980]

one mistake is when I invested in legacy.. although gamay ra man akong ge invest..hehehe!! although if dili mauli akong money, ok nalang. wa ta mahimu ana.. learn from experience.hehe.. wa man jud maaung laki basta negosyo, even the big guys sometimes have bad investment..

[lorenzoleo]

Word of advice to @young investor... I think you really need to apply the phrase "Seek First to Understand then to Be Understood"...

Rather than arguing what's best... I think it would be better if you share your strategy.

@tenshimandy.. We better have patience with young investor.. at his age, it is quite common to be too idealistic.. sometimes to the point of almost blinded by his knowledge.

but yeah.. we are OT i guess.

Now back to topic:

Worst mistake I made during the crisis was that I didn't invest enough.. I was able to invest a small amount.. (It grew quite a lot in the past months).. now the prices are starting to go up..

Yes, PhilEquity goes from 7 per share to 10 per share. hehehe!. No matter how the market fluctuates, invest every point of the graph. You could gain through cost averaging technique and make it long term.