JC: Why guess, is investing good or bad. There are facts — with 2000 of the year, that is for 14 years, the SP500 index has grown by about 16%. This 1% per annum, about — is that enough, everyone will decide for themselves.
It is also necessary to take into account that few manage to overtake the index., since the index is essentially an investment portfolio, which is constantly shaken up. That's why, the real result from self-investing is likely to be even worse than the return of the index.
Torres: In my opinion, you do not take into account that investments in stocks are regular purchases stretched over time. For example, I bought by 100 rubles one share, через год наступил кризис и эта stock dropped to 50 and I bought again but at a different price for 50, that is, the average purchase price of two shares will be 75. And do not forget the dividends.
JC: The stretch in time does not change anything at all. You don't know — this time the market will fall by 10% or on 90. Buy first on 5%, then on 10, then on 15 etc. to 90%. Average will be on 45. Half of your companies will go bankrupt from the crisis, a quarter will never recover, and the rest even after 10-20 years in plus the portfolio will not be withdrawn.
Или другой вариант — will wait for the crisis, but he still does not come and does not come as it was at the end of the last century and the money will lie in vain. And it will be even worse if after 5 years of waiting for the crisis finally decide that from now on the market will only grow and invest all the money, and he will start to bear globally next week. This is how the majority of investors got there., although everyone thinks that this certainly cannot happen to him.
Siamese cat: but the fact remains: 95% traders merge. Among investors, the percentage is much lower.
JC: Yes, this is an indisputable fact. Traders drain every penny, and investors have at least 10%-20% of the original amount, yes remains.
