Discover and read the best of Twitter Threads about #risktolerance
Most recents (2)
1/3
In the interest of #investors.
We need to assess our #risktolerance & find out our #lossaversion levels.
Risk tolerance means how much risk one is willing to take with their investments . Do you start selling out of panic the moment stocks fall or hold patiently ? +
In the interest of #investors.
We need to assess our #risktolerance & find out our #lossaversion levels.
Risk tolerance means how much risk one is willing to take with their investments . Do you start selling out of panic the moment stocks fall or hold patiently ? +
2/3
Loss aversion means to be fearful of losses & holding to loser stocks in the hope that they shall fly someday. The delay we make in facing "losses" by simply postponing selling our junk/loser stocks. Ultimately we end up losing more money than before +
Loss aversion means to be fearful of losses & holding to loser stocks in the hope that they shall fly someday. The delay we make in facing "losses" by simply postponing selling our junk/loser stocks. Ultimately we end up losing more money than before +
3/3 Equity is subject to market risks. True, that greater the risk , higher the return .But how much of a risk is one willing to take ?After a point capital protection becomes paramount.
Calculated bets (after knowing reality)make more sense than blind cloning of a portfolio.End.
Calculated bets (after knowing reality)make more sense than blind cloning of a portfolio.End.
Why one should invest in what suits their true risk appetite? #story
Generally my father in law does not introduce me to his friends for investment guidance. 1. Because generally I am extremely blunt when it comes to investment guidance 2. I only mostly explain #risks involved
Generally my father in law does not introduce me to his friends for investment guidance. 1. Because generally I am extremely blunt when it comes to investment guidance 2. I only mostly explain #risks involved
But I think his friend really forced him so he finally introduced me to this gentleman who retired from government service, has good pension and also has a frugal life style so has lot of money saved. He wanted to invest his just matured FD into a MF because FD rates were low.
