Investing strategy: The cost to average up & down
These sample video clips are taken from the online course:: Investing Strategies
Although investing in stocks and shares is relatively easy past-time, investors often found that they need to apply some good investing strategies in order to win consistently from the stock market.
Unfortunately, we all know that it is not possible to make gains in every stock all the time. Given the psychologically, we tend to be more sad at our stock losses than more happy with our gains, we tend to go for average down strategies than averaging up strategies. The video clips here illustrates the cost of averaging up and averaging down to enable students to weigh the differences and to decide what is a better strategy. Hopefully, it will help change the mindset of students and investors.
Brennen graduate as an engineer in the National University of Singapore. During his full time employment, he has been dealing with a lot of engineering works in project engineering materials and design. During his school days, he also learnt woodwork and metalwork for 2 years and 4 years respectively. He also did technical drawing for 7 and spent several months of his holidays as a junior draftsman. Thus teaching Fusion 360 and 3D printing comes naturally.
Brennen Pak has been investing in the stocks for the past 27 years. With a wealth of experience about stock investments, he started to teach stock investing and personal finance for the past 5 years. By today, he had already taught thousands of students. Brennen Pak's investing journey is not without setbacks. In fact, his stocks tanked 10 years after his start in stock investment. During 1998, his stock portfolio went into a tailspin at the peak of the asian financial crisis (AFC). He lost more than $100k as he sold stocks in a panic. What was more painful was that after he sold most of his stocks, the stock market went up 100% within a matter of 6 months and then another 75% in the year that followed. From that lesson, he learnt that picking up the essential financial skills is the mother of success to being a good investor. Knowing that Warren Buffet would not be what he is today without financial knowledge, Brennen Pak decided to use his financial skills that he learnt during his MBA to invest in stocks. Surely, major events such as dot-com bubble burst, terrorists attack on the World Trade Center in New York, the Severe Respiratory Syndrome (SARS), the global financial crisis and the euro-zone crisis, just to name a few, would have badly affected the stock markets. However, despite these crises, he turned around his battered assortment of stocks into a phenomenal stock portfolio by year 2009.