RE: next arb16 May 2021 08:52
D-Geeman
(this is really just for D-G. can't be interesting to anyone else - its about me not he1, so look away...)
I started investing before I knew what a tree shake or pump and dump was. I started taking guidance from these bulletin boards before I realised some posters are paid to ramp or de-ramp. And before I heard some AIM-listed companies exist to collect PI's £££ and have no intention of delivering a product. I didn't realise 'famous' tipsters take backhanders and some media about investing is 'pay to play' and the information/interviews are dishonest.
My girlfriend works for a multi-national bank. I learned her bank and others have teams who specialise in sectors like mining, oil etc. Those people have deep backgrounds in sectors, field experience, Phds etc - for mines they fly out to inspect the sites and have personal contacts with Government ministers.
How can I compete with that? I might have a great hunch or search the Internet but I can't match a 'city' team with years of experience and full-time work. If I had a background in finance or expertise in just one sector I could hold my ground. I was told look at Warren Buffet. He said he didn't invest in tech because he didn't understand it. He focused on what he knew - his investing strategy is gambling with loaded dice. If you know everything about a company and sector, you can be confident.
I realised I knew nothing. And yes there are some great people on these boards and we can research as a team - but I am not qualified to verify that data.
If I can't be certain of the fundamentals I can play the price. I find one or two shares I want to be in and keep buying and selling them as they rise and fall. I have a few goals. I want free rides. I want to make £50 a day. If a share is stuck or keeps going down I sell it. I steal from posters I trust - that leads to losses and wins. I don't invest too much - my punts are small but I don't get wiped out. The longer I can stay in the game the more I will learn. I've been in five months. I'm 4-5% up on my initial stake (more if I get lucky with COPL's re-listing). I have 14 shares I am holding for medium term - £200 to £800 in each - I don't like money stuck passively...hoping. Unless its a free ride.
Finally I don't trust myself - I have to keep my greed/fear in check - and double back on certain decisions.