Are You Lucky Enough to be the 10%?

Tiger_comments
07-30

There is an interesting discussion recently.

90% of Retail investors do not beat $S&P 500(.SPX)$ in last 15 years.

Actually, 88.99% of large-cap US funds have underperformed S&P500 index over ten years.

A netizen said:

My 401k and ROTH IRA are doing great. In index funds.

The $20-30k i used for personal investment/options was all pulled out with a valuation of $5,000.

Just stick with indexes and you'll be a millionaire.

Anybody lucky enough to be the 10%?

Of course, there is someone who is lucky to be the 10%.

He shared secret:

Long on $Apple(AAPL)$ at $15/share and $Tesla Motors(TSLA)$ at $22/share.

How's your portfolio going on?

Are you the lucky 10%?

If so, share your secrets!

If not, will you turn to spy or try harder to become a professional investor?

Leave your comments and also post to win tiger coins~

# Are You Lucky Enough to be the 10%?

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.

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  • Shyon
    ·07-30
    TOP

    Yes, it's often cited that a significant majority of retail investors underperform compared to the S&P 500 over extended periods. This statistic highlights the challenges faced by individual investors in consistently achieving returns that exceed those of a broad, diversified index like the S&P 500. I think the factors contributing to this underperformance include:

    1. Market Timing: 

    Many retail investors attempt to time the market, which is difficult and often results in buying high and selling low.

    2. Emotional Decision-Making: 

    Retail investors may make investment decisions based on fear or greed rather than a disciplined strategy, leading to suboptimal results.

    3. Lack of Diversification: 

    Individual investors might concentrate their investments in a few stocks or sectors, which increases risk compared to a diversified index.

    4. Higher Costs: 

    Active trading and management fees can erode returns over time.

    5. Inconsistent Strategy: 

    Long-term investing strategies, like those used by index funds, often outperform short-term trading strategies favored by some retail investors.

    This underperformance suggests that passive investment strategies, such as investing in low-cost index funds that track the S&P 500 $S&P 500(.SPX)$  $SPDR S&P 500 ETF Trust(SPY)$ , might be a more reliable way for many investors to achieve competitive returns.

    How do you think?

    @Tiger_comments  @TigerStars  @CaptainTiger  @MillionaireTiger  @TigerGPT  



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    • icycrystalReplying toShyon: 
      [Like] [ShakeHands]
      07-30
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    • TigerGPTReplying toShyon: 

      Absolutely! Investing in the S&P 500 has proven to be a successful long-term investment strategy. The S&P 500 is a widely recognized benchmark index that represents the performance of 500 large-cap U.S. companies across various sectors. Here are a few reasons why investing in the S&P 500 can be beneficial:

      Broad Market Exposure: The S&P 500 provides exposure to a diverse range of companies across different sectors, allowing investors to participate in the overall growth of the U.S. economy.

        

      Historical Performance: Over the long term, the S&P 500 has delivered strong returns. It has consistently outperformed many other investment options and has generated attractive returns for investors.

        

      Stability and Resilience: The S&P 500 is composed of established and financially stable companies, which tend to be more resilient during market downturns compared to smaller or riskier stocks.

        

      Passive Investment Strategy: Investing in the S&P 500 can be achieved through low-cost index funds or exchange-traded funds (ETFs), making it a convenient and cost-effective way to gain exposure to a diversified portfolio of stocks.

        

      Long-Term Growth Potential: The S&P 500 has a long history of growth, driven by the overall growth of the U.S. economy and the success of its constituent companies. This growth potential can provide investors with the opportunity to accumulate wealth over time.

        

      However, it's important to note that investing in the stock market, including the S&P 500, carries risks. Market fluctuations, economic conditions, and other factors can impact the performance of the index. It's crucial for investors to have a long-term perspective, diversify their investments, and consider their risk tolerance before allocating a significant portion of their portfolio to any single investment.

      Remember, the information provided is for reference purposes only and does not constitute investment advice. It's always recommended to conduct thorough research and consult with a financial advisor before making any investment decisions.

      07-30
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  • 1PC
    ·07-30
    I'm the Lucky 🤞 10% from Bottom onwards [LOL] [LOL] [LOL] [LOL] [LOL] [LOL] still a Long way to go to become the 10% and beat the markets [Facepalm] But... I Don't Give Up [Smart] [Smart] it's reachable and achievable [Bless] I will be there [serious]
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  • MicroStrategist
    ·07-30
    hehehe 10%
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  • AliceSam
    ·07-30
    乖乖买标普，收益更好，也不要担心太多
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  • icycrystal
    ·07-30
    TOP

    lol... consider myself lucky when my portfolio in green for all stocks. some of my stocks still a little red while most have turned slightly green. and a few are doing quite green. praying not green pastures with flowers [Bless]

    am trying to diversify into others industries and sectors to have a more balanced portfolio... needs more [USD]

    where is my money tree [Doubt]

    @Universe宇宙 @koolgal @Shyon @Aqa @LMSunshine @GoodLife99 @HelenJanet @rL @SPACE ROCKET @TigerGPT

    How's your portfolio going on?


    Are you the lucky 10%?


    If so, share your secrets!


    If not, will you turn to spy or try harder to become a professional investor?


    Leave your comments and also post to win tiger coins~

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    • SPACE ROCKETReplying toicycrystal: 
      Wow that's bad... mine is only TB and idk how to rectify hais. Keeps hanging and restarting or closing app 🥲
      07-31
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    • icycrystalReplying toSPACE ROCKET: 
      it happens on other apps too... not just TB... sometimes, it changes the words so much that the whole sentence does not make sense... it's like gibberish... [Facepalm]
      07-31
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    • SPACE ROCKETReplying toicycrystal: 
      Same!! Does that happen only on TB? Cause it only happens to me on TB! I had trouble keying in the numbers I want for my trades!!! If only my reds could be green too! This mad sell-off is crazy!!
      07-31
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  • highhand
    ·07-30
    YTD and 1 YR match S&P. I still hope to beat S&P at year-end. need to find tune portfolio.... Actually just buy QQQ and SPY at every pullback, correction and bear market can already.. but my fingers itchy... want to buy individual stocks too... [Happy]
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  • Aqa
    ·07-30
    Buy $SPDR S&P 500 ETF Trust(SPY)$ to be guaranteed the lucky top 10% of retail investors. I would like to follow Warren Buffett’s recommendation of investment in S&P 500 index fund as the best option for the average investor because it provides exposure to a "cross-section of businesses that in aggregate are bound to do well." In other words, investors that buy and hold shares of an S&P 500 index fund are all but guaranteed to make money over the long-term. Indeed, the S&P 500 has produced a positive return over every 10 year period in history.
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  • SPACE ROCKET
    ·07-30
    I guess I'm lucky to be that 10% 🔥🚀
    Hop on my SPACE ROCKET to infinity and beyond!! 🔥🚀
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  • AliceSam
    ·07-31
    $纳指100ETF(QQQ)$就非常不错👍
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  • Aqa
    ·07-30
    Buy $SPDR S&P 500 ETF Trust(SPY)$ to be guaranteed the lucky top 10% of retail investors. Follow Warren Buffett’s recommendation of investment in S&P 500 index fund as the best option for the average investor because it provides exposure to a "cross-section of businesses that in aggregate are bound to do well." In other words, investors that buy and hold shares of an S&P 500 index fund are all guaranteed to make money over the long-term. Indeed, the S&P 500 has produced a positive return over every 10 year period in history. Thanks @Tiger_comments @icycrystal [Heart][Heart][Heart]
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  • jhtiger
    ·08-03
    good article - shows we should just invest in a low fee index fund!
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  • henshengqi
    ·07-30
    Nice gains you got! [Smart]
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