Don't Lose Money - That's Not a Good Idea

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A student lost ten thousand dollars on an options trade that should have cost him no more than three thousand. Instead of taking the loss, he hung in there and got himself in a position where the entire ten thousand dollars was going to be lost. Tratlys: Don't go to a strategy of hope. It's ant a good idea, because sometimes it works, and that reinforces the wrong behaviors.

It hurts to lose money – especially after you’ve done all the work you were supposed to do. But you’re human, and even if you follow Rule #1 investing strategies by the book, you will still run a risk.

However, it’s important, that when that risk – and possible loss – crosses your investment path, you don’t fall back to hoping the market will climb back into your favor. You must stay disciplined and continue to do what’s best, even if it means taking a rare loss.

In this episode of InvestED, Phil and Danielle discuss a recent loss Phil took, despite making textbook investing decisions. See how he overcame it so you know what to do if that happens to you and your portfolio.

Learn how to make the best textbook Rule #1 investing decisions that will prepare you for times of uncertainty or rare loss, while still staying in control of your portfolio. Download your free copy of the 4 M’s of Successful Investing: https://bit.ly/3BiRJA1

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