Feel free to laugh until you make your first bad choice.[/quote]
Absolutely I think we all have made some mistakes and hiccups in life and investments. I’m not disputing that. Anyone that tries to deny they haven’t made any mistakes is absolutely lying. The key is to learn from those mistakes.
But still, if I was doing something stupid or ignorant, I’d sure appreciate someone pointing it out. Which is what I think I’m doing mentioning this whole credit cards in the stock/currency markets thingy.[/quote]
I think that’s where I disagree. Most people are myopic. very few people are open minded. All it takes is for one bad experience or hearsay and they’ve made up their mind.
Risk of losing money is part of the game. Yes, everyone tries to minimize loss, but it ‘s part of the game. Trying to “investment” in equity market is no different that trying to pick the winners losers in a small business or commodity or IOU papers or real estate. It depends on well in part of chance, meeting action.
But my point is there’s a huge difference between
(a) not understanding speculation X, and therefore not wanting to play
(b) not understanding speculation X, and concluding what you don’t understand is a automatically bad investment for everyone. Personal ignorance often masks itself in form of “bad idea”.
For instance, I personally wouldn’t invest in small business because I’m fairly unsophisticated in understanding how someone’s business runs, how they make money, etc. Likewise, I’m risk adverse to playing the commodities market, because I have no clue. Then again, that’s me…Do I think it’s bad idea to invest in any/all small business? Absolutely not, if one understands it. And likewise, people who know what they are doing in the commodities market I envy because I don’t get that either. Nor do I have the time/patience to try to figure it out. In general, if I don’t understand something, like how a business runs, or how the commodity works, if I were to put any money into something, I would consider that gambling. Even if I didn’t understand it and put money into it, I also would realize that a possible outcome is $0…That goes with everything. Except if you want to keep something in a CD under the FDIC limit(s). But then the returns suck.
