Asim Iqbal’s Post

Volatility is both a friend and a foe. At its most basic, volatility is a measure of how much prices of stocks fluctuate. But for the astute investor, volatility is the key to performance. Enduring and emotionally overcoming fear of volatility is the price to master and earn money with stocks and in the capital market in general. If there’s no volatility, there’s also no upside! Do NOT ignore the "engine of opportunity"! #investing #volatility #opportunity #fearandgreed #momentum via DataDrivenInvestor https://lnkd.in/dhzFYv-e

*** In Bull Markets, Cash-Switching Is a Killer *** Whether it's a bull or bear market or something in between, market-timing is difficult and really not worth anyone's time. On a related note, jitters at all-time highs are natural but history suggests that giving in to that feeling would have been very damaging for your wealth. There may be valid reasons to dislike stocks but as the chart below shows, the market being at an all-time high should not be one of them.

Growth vs Value: What's the difference? 🌱 Growth stocks are like the rising stars, expected to outshine the market with future potential. 💰 Value stocks are the hidden gems, trading for less than their true worth. Discover your investment style today! 📈 #InvestSmart #FinancialTips #FinancialPlanning #FinancialAdvisorsFortWayne

Growth vs Value: What's the difference? 🌱 Growth stocks are like the rising stars, expected to outshine the market with future potential. 💰 Value stocks are the hidden gems, trading for less than their true worth. Discover your investment style today! 📈 #InvestSmart #FinancialTips #FinancialPlanning #FinancialAdvisorsFortWayne

Growth vs Value: What's the difference? 🌱 Growth stocks are like the rising stars, expected to outshine the market with future potential. 💰 Value stocks are the hidden gems, trading for less than their true worth. Discover your investment style today! 📈 #InvestSmart #FinancialTips #FinancialPlanning #FinancialAdvisorsFortWayne

The intelligent investor mainly chapter 8 and 20 may help you push away the temptation to fall into these traps.

Make Hay While the sun shines It's quite common to see stocks move 20% -30% or may be 100% . Last 2-3 yrs have got so much oppurtunities to make money in equity . It's a common myth to think that it's easy to make such money consistently and make it easy. Media is full of figures showing superlative figures earned by a beginner. Trading is linked to market cycles and market cycles seldom fail to perform their role Many profits vanish or loses increase manifold when traders do all wrong things in choppy markets Trading is a long haul and performance over 10 to 15 yrs is key when one is witness to many events / market cycles and emerges successful Bull markets create many heros clocking super returns . But how much is retained and contributes to growth of equity curve is a question Long periods of consolidation can throw many players out of the ring. Especially in the current scenario when practically every thing touched is turning gold , caution is the key. Sustainable long term approach is the order of the day . Make hay but do remember the days of quick gains may not be for ever as trading is a zero sum game Consistently making money is the key and surviving long term the challenge

Rather than fret over excessive investor optimism, remember that stocks flourish when persistent pessimism fades. The particulars of every cycle are unique, this a pattern that has been seen time and time again. The latest look at sentiment from Hi Mount Research: https://lnkd.in/gp2ZnUDB

Can't argue with Ben on this one. Solid list. BUT, if volatile markets do make you uneasy, you may want to just make sure your portfolio is structured with the proper risk tolerance you have. You can guage this through "Maximum Drawdown Comfortability". Find that number regardless of where the market is.