Hi All!!
I am just 20 years of age and started my investing journey when i was 18 and created a somewhat big portfolio for my age…I thoroughly enjoy the process of stock picking and am passionate about it…I pick cues and insights from reading ARs of Companies and from many valuation reports,screeners etc…I read many investing books of Peter Lynch,Buffet etc and understood that buying and holding for many years is the most successful and time tested strategy in equities…I personally think that if i pick 15 stocks and just 6 of them give me very good returns, 4 of them being duds and just breakeven and rest of them going down the drain…I would still beat the index and other Fixed Income instruments…Even if a stock which i pick loses its value completely…the maximum downside is 100% of my cost while the upside potential is unlimited (I definitely understand the opportunity cost of money,but the returns i would get in the 6/7 companies out of 15 would offset it is what i believe)…So I have decided to pick 15 companies and just hold on as long as possible while tracking the business on a yearly basis since quarterly tracking would make it complicated to hold.I am not being extremely optimistic and i have already lost good amount of money since i started at the peak of a bull market and as soon as i bought the stocks, the markets started correcting and gave me the bitter taste of losses and my portfolio is dead for the last 1.5 yrs due to the ongoing corrections in market…I have learnt many lessons in this short period regarding MoS,Valuations,Herd mentality,FOMO,Impatience,etc. and decided that Deep Valued research,Fundamental Analysis and conviction is what helps to stay the course during drawdowns. I Dont know if this would work or not…Reading the thread completely, I understand that many people who posted here are largely experienced investors and would love to get their views on my thoughts.Kindly Enlighten me if i am wrong in any front.
(P.S The luck factor is very important IMO)
Thanks!!
Happy Investing!!
Subscribe To Our Free Newsletter |