Do you lose as much money as you want in the stock market or do you lose more than you want to? Most people are baffled when I ask them this question, but at the same time, most people say they lose more money than they want to. To that I say—then you do not know how to lose money properly.
Think about it…if you ask someone if they are making as much money as they want to in the stock market and they say no, what would happen if you asked them why? They would more than likely say it is because they do not know how to make the money they wish to make. It only goes to show that if you are not making as much money as you want to in the market it is because you do not know how to make enough money. After the same manner, people who lose “more” money than they want to, do so because they do not know how to lose their money properly.
We all lose money in the stock market. There is no one who is perfect. It only makes sense that if we know we are going to lose money, we should learn how to lose it, so we lose as little as possible. There is an art to losing money. And if you learn to do it properly you will have more money to invest in the long run so that you make more.
There are a whole lot of “how to” books and programs available out there that teach you how to invest, painting the picture of how you can make boat loads of money with their secret formula. What people do not take into account is the ability they have to lose money also. Trades go bad and it is very easy to lose a lot more money in the markets a whole lot faster than you make. The markets drop faster than they go up and your money disappears a lot faster than you make it. It leaves a bad taste in everyone’s mouth. More people steer away from investing when they experience their first loss.
This does not have to be the case though. Find someone who can teach you how to lose your money properly so you lose as little as possible. It is going to happen. You are going to lose money, so learn to lose as little as possible.
Contact me for further questions: firstname.lastname@example.org
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.