Commemorative
Feed ExplorerRemember: Copying trades without copying position sizing or logic, only copying the buying action, is a path to ruin in the long run.
Position management and phased buying, don't blindly copy trades, obscurity is better than hype.
Copying trades without copying positions or logic, only copying the buying action, is a path to ruin in the long run.
Warren Buffett kept buying $Occidental Petroleum(OXY.US) near the position shown in the chart. Over a year later, it has been halved at its worst and is still suffering huge losses. However, this hasn’t affected $Berkshire Hathaway B(BRK.B.US), which has been rising steadily, because Occidental Petroleum is just a "miscellaneous" trade for him, with an extremely small position.
But for copycats, things might not be so good, especially since the media keeps promoting "Buffett’s big buys" and "Buffett’s xth largest holding."
Investing recklessly without doing your own research—if you can still make money consistently, does that make sense? 🤔
Laziness in investing is unacceptable. If you’re truly lazy, dollar-cost averaging into an ETF like $SPDR S&P 500(SPY.US) is the only way out. But it seems those who don’t research investments look down on the modest gains of index funds?
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