"On the one hand, stocks are a form of ownership, but on the other hand, they are also a tradable security that can be bought and sold at any time."

There are always people bidding in the capital market, but even in the primary market, prices often fluctuate. It does not mean that the valuations of the company's A, B, and C rounds will definitely rise steadily. So how to understand this phenomenon? In the eyes of value investors, the existence of the market is only to serve you. When you need money, you can transfer stocks to cash, and when you don't need money, you can turn cash into stocks.

The market can't tell you what the real value is? The market only tells you the price. For example, the A-share price in 2015 was like a roller coaster at the beginning, middle, and end of the year. 99% of people made money in the first half of the year, and 99% lost money in the second half of the year. In fact, the target company you invested in has not changed much, but for an investor, your performance is like ice and fire! You can't regard the market as your teacher, but only as a tool that can be used. Equity is actually a trading product, with a price, and the price does not completely correspond to the value. This concept is almost the opposite of the understanding of more than 95% of market participants.