---
title: "The drawbacks of trend investing"
type: "Topics"
locale: "en"
url: "https://longbridge.com/en/topics/27781346.md"
description: "Jesse Livermore, who made his fortune through investments four times in his life and was once as rich as a country at his peak, ultimately could not escape the fate of bankruptcy due to investment failures. Therefore, in the long run, trend investors can hardly achieve compound growth, because just a few wrong choices at critical moments can instantly wipe out all the wealth you've earned."
datetime: "2025-03-04T05:35:00.000Z"
locales:
  - [en](https://longbridge.com/en/topics/27781346.md)
  - [zh-CN](https://longbridge.com/zh-CN/topics/27781346.md)
  - [zh-HK](https://longbridge.com/zh-HK/topics/27781346.md)
author: "[读尽人间书](https://longbridge.com/en/profiles/13205575.md)"
generator: "portal-rs"
---

# The drawbacks of trend investing

Jesse Livermore made his fortune through investments four times in his life, and at his peak, his wealth rivaled that of a nation. Yet, in the end, he couldn't escape the fate of bankruptcy due to investment failures. Therefore, in the long run, trend investors can hardly achieve compound growth, because just a few wrong choices at critical moments can wipe out all the wealth you've earned.

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**