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Disadvantages of Investing in Stock Market

JameauxJameaux PEx Influencer ⭐⭐⭐
Care to share? :love:
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Comments

  • KuyaDannyKuyaDanny Moderator PEx Moderator
    It is possible for you to lose money.
  • KuyaDannyKuyaDanny Moderator PEx Moderator
    It is possible for you to lose sleep.
  • KuyaDannyKuyaDanny Moderator PEx Moderator
    It is possible for you to lose your appetite.
  • JameauxJameaux PEx Influencer ⭐⭐⭐
    ^
    ^
    ^

    So its more of a psychological battle. Interesting, I've been cynical about this for years and wondering if its worth a try. Thanks for the input.
  • lol @ Kuya Danny. Very true indeed. It's not for everybody. And definitely not for the trigger happy. And if you're there for the long term. Resist the urge to view it everyday. *guilty*
  • KuyaDannyKuyaDanny Moderator PEx Moderator
    KuyaDanny wrote: »
    It is possible for you to lose your appetite.

    On the other hand, I know people who deal with stressful situations by overeating. Dinadaan sa kain ang sama ng loob. Still not good.
  • mackygoofmackygoof PEx Rookie ⭐
    haha...yeah, lose sleep. :D
    i spend about 3-4 hours reading/researching each day. time consuming and very addicting.
  • You will become greedy.. hehe, joke.
  • you'll get mood swings everyday. all sorts of emotions like these --> :):(:lol::eek::mecry::depressed::grrr:
  • metropolitanmetropolitan PEx Influencer ⭐⭐⭐
    RISK! read all about it
  • Requires more time and effort (vs. say, mutual funds or UITFs)
  • http://http://theofwinvestor.blogspot.com/

    I think every investment has it's own advantage and disadvantage. In stock market, it's the volatility of the stocks. You may be gaining today but you can lose tomorrow. Each investment has risks inherent to them but each one if us has to choose which of those risks are acceptable to us. Manny Villarreal became rich in real estate isn't? Lucio tan in cigarettes and beer. Henry sy in shopping malls. Frederick dy in banks. These guys became rich through different avenues of riches but still are billionaires. On my part, I am comfortable in stock market. I know there are risks, but I accept the risks inherent with it. In the end, I am just focusing to where I am most comfortable with.
  • Trading stocks as a profession or a business requires intensive education, time and resources. Medical practitioners go through years of study and yet people think all it takes to trade the markets is capital and brokerage account. ha-ha A successful trader makes much much more than a medical doctor (including those in the USA). Do you think being a trader require less education and training? ha-ha

    Disadvantage of trading the markets? Hmmm It can be addicting! he-he The ability to extract profits from the stock market at will is, in my humble opinion... FREEDOM! Where can you find a business that moves with you anywhere in the world... up the mountain, by the beach, on a cruise ship, in the jungle he-he The ability to extract profits in any currency of your choice is an advantage this world full of economic, political, financial and yes currency risks!

    Disadvantage besides being addictive? Oh yeah... you need to be able to spend 10 hours or more in front of computer screens. Trading is NOT for everyone. But if you like freedom to live anywhere you want, extract profits at will in any currency or markets worldwide, no employers (or employees if desired), freedom from political/sovereign control, and total control of your time, combine leisure/travel w/ business, trading the markets is the best profession there is!

    Trading is a professional arena. Unless you prepare yourself to battle with the sharks, you will find many disadvantages to playing the markets because we DO NOT PLAY. Trading is serious business. It is war.:)
  • michymichymoomichymichymoo PEx Influencer ⭐⭐⭐
    Liquidity. :) Not recommended for the people who have low risk appetite.
  • it depends, if you are into short term trading, the abovementioned are correct. however, if you are into long term and doesn't check stocks daily, you will be fine and will reap the benefits in the long run. You just need to be smart and less emotional in stocks...so never put all your money in it...

    invite ko pala kayo sa blog ko for more tips on investing: InvestmentPhilippines.com
  • KuyaDannyKuyaDanny Moderator PEx Moderator
    And speaking of long term, the article below suggests that a 20-year holding period might be what is needed to make buy and hold investing pay off.

    http://www.usatoday.com/money/perfi/stocks/2011-06-08-stocks-long-term-investing_n.htm
  • KuyaDanny wrote: »
    It is possible for you to lose your appetite.

    i like this one. i always have this big appetite.
  • i like this one. i always have this big appetite.

    you will loose your appetite together with your investment.. weight loss? :lol:
  • you lose sleep. hehehe.

    Since I started in the stock market, I have experienced euphoria and depression. When the stock market goes up, I am ecstatic and when it goes down, panic attacks. These feelings and emotions that we experience are normal. Our brain are hardwired to release a natural chemical called dopamine when positive news are heard or read causing a soft euphoria. On the other hand, when stocks drop it fires up your amydala, the part of the brain the processes fear and anxiety and generates the famous "flight or fight response". These feelings are just natural you can't help feeling fearful when stock prices go down.

    click below to continue http://theofwinvestor.blogspot.com/2011/06/what-goes-up-goes-down.html
  • Kung ayaw mo sa mga nabanggit na dahilan, try to invest in Sun Life Mutual Funds, its like investing in stocks (not directly) but you have fund managers to take care on your investments.. no worries.. :)
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