Will you be a retail bag holder this cycle?

Amazon
jengablock

Go to company page Amazon

jengablock
Mar 18 8 Comments

In the 2000 tech crash, who ended up holding the bag? Average investors. Over the course of the year 2000, as the stock market began its meltdown, individual investors continued to pour $260 billion into US equity funds. This was up from the $150 billion invested in the market in 1998 and $176 billion invested in 1999. Everyday people were the most aggressive investors in the dot-com bubble at the very moment the bubble was at its height — and at the moment the smart money was getting out. By 2002, 100 million individual investors had lost $5 trillion in the stock market. A Vanguard study showed that by the end of 2002, 70 percent of 401(k)s had lost at least one-fifth of their value; 45 percent had lost more than one-fifth.

#personalfinance #investments

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TOP 8 Comments
  • SpaceX
    Spqcex

    Go to company page SpaceX

    Spqcex
    Dumb poll
    Mar 18 0
  • Google
    UWOM24

    Go to company page Google

    UWOM24
    For the masses who are invested to their necks there is no way to escape anymore, it is too late. Only the few can exit before the crash. By definition only the few can sell at the top. Most people will lose money. Stock market shuffles money between the participants. Few will get rich. Others will transfer their wealth to those who get rich.
    Mar 19 2
    • New / Consultant
      Alexlivin

      New Consultant

      PRE
      CoinFund, Binarystation, Regal, Bitcoin.com, BitMEX, Bittrex
      BIO
      Crypto Derivative Trader/Investor
      Alexlivin
      This is exactly what it is, and nothing else.
      Mar 19
    • NVIDIA
      sirbgjs

      Go to company page NVIDIA

      sirbgjs
      Stock market is not zero sum, just short term trades are. Stocks are companies, which over the long term on average grow or generate income. Diversify and hold, and make sure to manage your risk (i.e. hold sufficient lower risk assets and cash) and you'll be fine.

      You're screwed if you try to time the market or if you are forced to liquidate at the bottom.
      Mar 19
  • Brex
    jFsnGsv4

    Go to company page Brex

    jFsnGsv4
    Oh yes. The retail bag holders who made lifetime fortunes by holding in US equities for only 2 decades.
    Is this what others call 'first world problems'? Where else do you make money as easily and lazily as the stock market. You get paid to breathe. Everything historically had been a buying opportunity in the US Markets.
    Some periods have just been less sales than other periods. I wish I could have bought Amazon shares at the peak of the dot com bubble. That's generational wealth there.

    Buy and hold forever. Pigs who try to market time generally get slaughtered. Not my fault retail thinks short term and tries to use the stock market as some lottery ticket.
    Mar 18 2
    • Some poke bought and held pets.com because Amazon and pets.com we're more or less same profile. It worked well for them , i hear
      Mar 19
    • Amazon
      Tim-tum

      Go to company page Amazon

      Tim-tum
      Sure. But the tech industry has evolved now.

      The example you are quoting is probably relevant to crypto/nft investors right now.

      You may not get 10000 fold return in tech stock but having big tech companies in your portfolio can still beat the index I think.
      Mar 19
  • Meta
    9gu59v

    Go to company page Meta

    9gu59v
    Buy and hold
    Mar 18 0