Posted by: jhyalincha May 22, 2007
Anyone into Stock Market?
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Very humbly, I want to say a couple of things: I agree Warren Buffett is one smart cookie, and has done very well for himself. But please keep in mind, he did not become a billionaire overnite. He put in his 2 cents in the industry like everyone else, had quite a bit of luck in the beginning, and yes he worked for someone else for some time before flying solo. Anyway, I like this thread for the reason it was started--to educate-- but I am also afraid it could quickly turn into an 'experiment' by a lot of the users-- students using their book knowledge to pick stocks (which is very dangerous, by the way); others reading up on stks mentioned by someone else ( either here or copying some columnists opinion) and taking the easy but dangerous strategy of investing in them without proper due diligence. The other thread started by EMT was I think visited by my more savvy brethren, and I did throw in some stocks to watch there-- but for beginners (if that is what this thread is for), I would urge you guys to get enough knowledge on this before you go in. If you do not have the knowledge, or the interest/resources to get it, please do not waste your hard earned money. The easiest way to start is by mutual funds and etfs---look at the best performing mutual funds over 5/10 yr periods and dissect them to see what they are invested in (every mf will disclose its top ten holdings)-- see if you understand the strategy and why those positions were picked in the first place-- if you do, then you are ready to invest in stocks. if you dont, then buy the broadest index fund you can find and ride it long term. hope this helps.
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