Social media hyped the investing in the Philippine Stock Market and that caused a lot of people jumped into it in the first quarter of January. The result? A bull run that caused a lot of people to invest more in a wrong way.
What were the mistakes they had taken? (These are the rants that my husband and I read from the different forums)
1. They invested money that they know they will need in a very near future.
2. They invested on stocks via hearsays.
3. Had never read any books or attended seminars on how to create a margin of safety.
4. And the most hurtful to read was, they loaned money from a bank to ride the bull.
And now... many people are now cursing PSE. Many people swore that they will not enter any transaction in stock market.
My mom bought stocks back then, so I have some ideas on how to manage and make money from it. Until now they are encashing dividends.
I hope that when the bear knock-out the bull last May 2013, many investors and newbies learned from others' failures.
As per saying by TGFI "Buying speculative stocks is dangerous to your wealth".
Please let me know if you have good book to read for investing or I can share some of the books that my hubby and I already read, just drop as an email, we will check if we have that ebook for you.