Be a "lonely brave man" on the road of investment

yuannn
2022-10-11

Earlier, a song "The Lonely Brave" hit the streets and alleys. As the song sings: Whoever said that he was a hero who stood in the light. In fact, the market rarely has a smooth year. Many successful investors are lone warriors in the market. Most of them chose the difficult and right thing, looked down on the outside world, and went against the wind. In the process of sticking to their hearts, they wrote successful investment cases one by one.

People often say that there are many people who like icing on the cake, and few people who are willing to give help in the snow. When Citibank was dying, contrarian guru John Neff made a big purchase of its shares. But who knows, later in the Great Depression, John Neff's investment in Citibank was at a loss of 58%. At this point, John Neff continued to buy against the trend, and eventually the Windsor Fund he managed had a holding of 23 million shares in Citibank, valued at $500 million. Five years later, Citibank's stock price began to recover, eventually rising more than 8 times.

Going against the trend requires courage in itself. And the market is the arena of real money, it is not easy to become a lone warrior in investment. On the surface, the solitary brave choose to go against the market, but in fact, what they do is often "the hard and the right thing".

John Neff's adherence to Citibank is based on thorough arguments. Anthony Bolton, also a contrarian, has also said that before he chooses a stock, he should look at its share price over the past 20 years at least.

To be a reverse loner in investment is actually difficult in the word "brave". Only with cognitive confidence, investors have the courage to fight against the noise.

 In fact, many times, the solitary brave people in investment do not have many profound secrets, they may just overcome time.

Previously, there were two "teachers", one earned 28 times in 7 years, 47,000 yuan became 1.327 million yuan; the other 85,000 yuan became 1.39 million in 14 years. After the two "si nanny" selected the stock, they did the same thing, they took it.

It seems simple, but looking back, when we do many things, what we lack may be "patience" and "persistence". Especially in the face of the unpredictable market, people with determination may not seem to be so smart, but they are always easy to become the solitary brave who harvest the rose of time. Wisdom is also one of the characteristics of the solitary brave person in investment.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Maria_yy
    2022-10-14
    Maria_yy
    The investment road is always lonely, which is what every investor should learn.
  • MortimerDodd
    2022-10-14
    MortimerDodd
    The risks of contrarian investing are great, but so are the benefits.
  • PandoraHaggai
    2022-10-14
    PandoraHaggai
    Time is the retail investor's most reliable partner.
  • EvanHolt
    2022-10-14
    EvanHolt
    You're right, cognitive confidence is very important for us.
  • BellaFaraday
    2022-10-14
    BellaFaraday
    John Neff's investment story is legendary.
  • BlogArca
    2022-10-11
    BlogArca
    Isnt good to be special? While other are panic.
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