πππChase Hot Trend vs Making Solid Investmentπππ
πππWhile chasing hot trend seems exciting, but it is a high risk /high reward kind of investing! The thing is we never know when the hot trend will dissipate and becomes passe. It is a FOMO mentality but market sentiments are unpredictable and we maybe left with staggering losses.
A good example would be Meme stocks like $GameStop(GME)$ or $Bed Bath & Beyond(BBBY)$ . To me it is like going to the casino - too risky and perhaps lots of sleepless nights.
I would definitely prefer making a solid investment by buying quality stocks that tick all the core fundamentals of profitability, rock solid balance sheet, preferably with a wide moat and excellent management. My favourites are $Apple(AAPL)$ $Microsoft(MSFT)$ and $Amazon.com(AMZN)$ My style is definitely a Buy and Hold with a long term horizon. It is a slow and steady kind of investing, perhaps somewhat boring. It will allow the magic of compounding to happen over the years.
That's what Warren Buffett did and that's why he is the Father of Value Investing and a billionaire as well. In investing, time and patience are important to reap bountiful harvest in the future. Investing is definitely not a sprint but a marathon for it is time in the market that counts, not timing the market!ππππππππππ°π°π°
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.
Great ariticle, would you like to share it?