0

I am new to investing. I am reading through the investing for dummies, reading up on terminology and reading forums on shares I am interested in and have shares in. I have started dabbling before reading the book which might be a mistake.

What I am thinking though is who can I ask questions to? Bounce ideas and theories off? For example I have one a will likely ask separately about taking profits on longer terms investments and working out the fair share price small caps.

I am looking for a place I can ask such questions. I've joined here because it looks the most relevant. However, this isn't a place for just investing questions.

So any recommendation on asking questions primarily and getting up to speed would be good. Also when you started how did you know you doing the right things, reading and caring about the right stuff?

Thank you so much in advance.

  • what is your level of education/maths? This may prove important... – MD-Tech Feb 9 '18 at 14:24
  • 1
    If you have a degree in a numerate subject I would suggest the FT guide to investing, which is how I learnt to a greater extent (amazon.co.uk/Financial-Times-Guide-Investing-Definitive/dp/… - other booksellers exist and may be more or less evil) – MD-Tech Feb 9 '18 at 16:49
1

You could consider investing in a fund. This means you are relying on the expertise of a fund manager rather than trying to manage a portfolio by yourself.

Some funds are low-risk and some are high. Generally you should spread your risk. Keep some money as cash in the bank. Put some in a low-risk fund and maybe put a little in a high-risk fund.

A high-risk fund will track highs and lows of the market; a low-risk fund will track the market more softly, reducing the losses in a crash.

  • Thanks. I have thought about mixing in some managed funds too to reduce risks, ETFs and index funds look interesting and already have a managed investment (not ETF). However, I like to know how things work and try and learn myself see if I can make some more gains. Obviously you need to learn a lot to do that and perhaps that can only really be done as a full time job. Not sure that's true though, I guess it's a question of not over stretching. Hopefully this isn't naivety talking. – Cool Hand Luke Feb 9 '18 at 16:39
1

I always recommend that noobs start with the "XYZ" For Dummies books. Once you have some basics, start reading the next level of books. As your learning curve increases, head for the books on the topics that interest you (Equities? Options? ETFs? Mutual funds? CEFs? ). Go easy on much more than dabbling. The market usually separates beginners from their money quickly.

I would post any question here that you want. As long as it doesn't violate the rules, go for it. Unfortunately, the membership here isn't that high/active. Some other sites that provide the the ability to do Q&A are Elite Trader, Silicon Investor, Seeking Alpha. Yahoo Finance used to have some good BBs but they withered on the vine (I have no clue if they are active or dead now). It's not that one is better than the other but a case of finding others interested in what interests you.

I was a mostly B&H investor for 20 years before branching out. This was before the internet. Even though I had a more than full time day job, I still read frequently (you never stop learning with the markets). 15+ years ago, trading began to interest me. I joined a number of free trading rooms on of all places, Paypal. When I learned what they had to offer, I moved on. Eventually it all coalesces and you get a feel for what you can and can't do.

The ultimate feedback is your performance. Are your investments matching or outperforming the market? Is your trading generating a profit? The only infallible investing/trading indicator is the value of your position. It never lies. Hindsight tells you if you are doing the right things.

I bailed out of most of my long holding in late 2007 after giving back 10% of 6 years of investment gains and I then traded a lot on the short side for almost two years. I did it again 3 weeks ago. In neither case did I predict or know what was to come. I just got to the point that I didn't want to give back years of gains. Keeping it became more important than making it, though I don't object to some of the latter. So far, I'm 10% right in the past month. And even if the correction didn't occur, it was the right thing for my piece of mind. So don't be afraid to make decisions that aren't always right. And try to avoid as many of the really wrong decisions as possible (employ disciplined risk management). AFAIC, trade not to lose and the rest will take care of itself :->)

Good luck!

  • Thanks Bob! Really good insights. I was making some good profits before the correction. I've gone from 17% to -9%. Hoping it swings back the other way. I guess I should have put in stop loses early or price locks. That's what I've learnt so far from this correction. Hoping on riding it out too. – Cool Hand Luke Feb 9 '18 at 16:35

Not the answer you're looking for? Browse other questions tagged or ask your own question.