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by TheGrkIntrprtr
1898 days ago
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I'd recommend signing up for a guest account at https://www.valueinvestorsclub.com/, where the likes of Michael Burry and other famous professional investors have posted (see Mike's posts here: https://valueinvestorsclub.com/member/michael99/1219). Mike makes it look easy in some of his posts, but there was no doubt a great deal of analysis and thinking involved. The reason I suggest this is to get some sense of what can be involved in selecting individual securities to invest in. If you're still considering a style involving picking a handful of stocks, go and read some CFA level II CBOK material on equity valuation, and consider whether it makes sense for you to try it as an individual investor. This would be very time consuming, but consider the time invested into earning the funds in the first place - if you really think you're skilled enough to choose a concentrated portfolio, you owe it yourself to invest some time into becoming familiar with common methods of analysis, and to think about what edge you have VS the seller of shares when you purchase them. The point of doing this is mostly to dispel the extremely common Dunning-Kruger effect among amateur investors. Maybe my advice will be unsatisfying for you, but there is no single right answer to how one should invest. Reading a bit about how to think about valuation, risk adjusted returns etc.[0] should help you form some opinion on an investment strategy that you will feel most comfortable with, which will be important for you to keep in mind when facing the vicissitudes of the market. [0] A great book on how to think about investing, by Howard Marks: https://www.amazon.com/Most-Important-Thing-Illuminated-Thou... |
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