In my Investing Life I have never seen a Successful Investor who made Zero Losses!
If you consider Warren Buffett he is having Losses too.
LOSS IS INEVITABLE!
If you buy any stocks, in the next days or weeks it can go down – It is actually Loss!
In 2019 our Caplin Point, Maithan Alloys was in loss position.
All these are Short-Term Loss which is INEVITABLE!
LONG TERM NO LOSS!
Let us see how Top Investors like Warren Buffett deals with it.
They think for long term as they know Short-term price movements could go in any direction. Even with 30-50% Loss they still hold the stock. In fact they will convert it as an Opportunity to buy more!
Later in the long term the stock price aligns with the company performance & gives profits.
If you think in 1 year you could be in loss..
If you think in 2 year you could be in loss..
If you think in 5 year you will NOT BE IN LOSS!
This is the reason we are repeatedly saying, Ignore the short-term movements, Focus on the Long-Term as Long-Term NO LOSS if you picked fundamentally good, growth stocks.
There is NO LOSS In Long Term Investing!
Warren Buffett Lessons
Warren Buffett the World’s Top Value Investor is a Long-Term Investor. For him the Holding Period of a stock is Forever! He holds Coca-Cola above 30 Years. In this way the Capital Gain, Dividends etc. gave Tremendous 100X kind of returns to him so that he can sow the Seeds of future multibagger too.
He is not worried when a stock price crashes 30% or 50%. Instead he will be happy to buy more of that if the Growth & Valuations are right. His theory is Buy more Potatoes when Potatoes are at Discount.
Stock Market is about Trading, Options, Short-Term, Long-Term etc. If you follow other amateur paths you will get deviated from the Core Long-term Investing. Remember you were Interested in Stock Market due to the Long-term Wealth Attraction by Celebrities. Never deviate from them them!