1st time investing in shares. Risks?

[Julia]

Yes, I remembered Sarah from back then.

What I was responding to, however, was Hongwong's comments and am interested in his/her answer.

 

[>Apocalypto<]

You don't mention looking at what the SP was doing? So you would have bought on the above criteria even if the SP was going down?

Just cuz the S&P goes down does not mean every share will be going down.

 

[>Apocalypto<]

It may be of interest to those posting here that Sarah posted 2 years ago. You guys are talking to a ghost.

That's all good just shows how helpful every one is!

But its damn funny!

 

[Julia]

Just cuz the S&P goes down does not mean every share will be going down.

Trade It:
My post did not say S & P
It said SP
SP is an abbreviation for Share Price

 

[>Apocalypto<]

Trade It:
My post did not say S & P
It said SP
SP is an abbreviation for Share Price

Sorry, my mistake :bonk:

 

[Young Gun]

(haha now i feel retarted)

Hi Sarah,

I would be a little bit weary of investing in shares at the moment as it is not far long off untill the sharemarket takes a large tumble. Although investing in share will give you alot of expirience and teach you many things I think the risks and rewards do not stack up. Investing in blue chip stocks you would be lucky to get a return of 10 % before the market crashes and may welll loose an additional 30 % when it does. Even if you trade very well up untill the market crashes when it does it will level off your gains, (but you will gain expirience which is more important).

I am actually similiar sittuation to you, (although your a couple of years older), im turning 20 in a couple of weeks. I purchased a property 6 months ago and also put some money into shares about the same amount as you. I have been investing in shares for a little under 12 months and I have made pretty good returns and have even been sucessful at trading CFDS also.

Dont let anyone tell you what you cant do, however I think you should only really look to invest if your 100 % dedicated and keen and are willing to stick with it. Its hard to park your money somewhere and then take smalll losses specially when your new to the asset class.

If you send me a private message I can answer your question a bit more and give you some advice speaking from someone who was in virtually the same position as you are 12 months ago.

 

[hongwong]

You don't mention looking at what the SP was doing? So you would have bought on the above criteria even if the SP was going down?

Hello Julia,

When the market dropped I think around feb 27th, I bought more stocks in a company called COA.

If I am quote Benjamin Graham , it very hard to find a bargin when the market is on a bull run.

I would love to invest in the banks stocks, but they have not fallen to the price I would buy them at.

The only problem I have found in COA is the debt level, but they are hopefully passing this cost to the comsumer.

I am only invested in two companies, lets see how they will go.

COA
Bought price 4.88@ 10,000
BBP
Bought price 2.79@ 7,000

CXP is other stock i am keeping an eye on.

think about this ....
when you go shopping for house hold items, do you buy the most expensive item or the cheapest knowing they are the same brand ?
Look for a bargin that is a GREAT value.

Thanks for reading my post.

Hhongwong.

edit
If it of great value and the "books" are great, why not buy more ?

Think about this. When the market dropped on the 27th Feb 2007.
I read in bloomberg
China not wanting to buy anymore metals.
Two days later
China expand and still wanting to buy more resources.

Makes me wonder if the reporters at bloomberg change their minds or China is chaging their minds ?