3 Mistakes Investors Make

Turn Your Images On

3 Mistakes Investors Make

Turn Your Images On

By Nicole Zdzieba, Assistant Managing Editor, Alpha Investor

Dear American Investor,

He may be the greatest investor of all-time … but even Warren Buffett makes mistakes.

In fact, the “Oracle of Omaha” has a long list of investment-related regrets.

It includes:

  • Missing opportunities to invest in both Amazon and Google.

  • Investing in companies that he wasn’t familiar with in manufacturing, service and retail.

  • Buying control of Berkshire Hathaway when it was a failing paper mill in 1962 — a move that cost him about $200 billion in the long run.

These are just a few of the decisions over the course of his career that Buffett wishes he could take back.

And if the world’s most successful investor has made so many mistakes, what hope is there for Main Street investors like us?

Especially new investors who are just starting out?

Well, we may not be making $200 billion mistakes … but we can certainly learn from the mistakes of others.

And at American Investor Today, we want to show you that it’s never too late to learn something new. We bring you Wall Street ideas, made Main Street simple.

Whether you’re new to the markets or you’re ready to keep learning, we want to show you the most common missteps of new investors … and how you can avoid them.


Exposed Wall Street Secret Leads to 500% in 5 Years

Charles Mizrahi has just exposed a secret that Wall Street pros — including Buffett, Lynch, Klarman and Ackman — have used to make a fortune. Sometimes even sooner. Click here now to see it.


Mistake No. 1: Overpaying for a Stock

One mistake is buying when stock prices rise.

A lot of people see high stock prices and buy, buy, buy. They don’t want to “miss the boat” on profits.

My colleague Lina Lee wrote about this just the other day … and she warned readers not to chase stock prices.

Think about it…

In any other situation, people look for something to go on sale before they stock up on it.

When you need to buy gas, will you buy it at a station where it’s heading higher and higher … or will you go across the street where gas is selling for $2?

As my boss, Wall Street veteran Charles Mizrahi, always says: Even a great company with a high valuation will produce terrible results.

Instead, you want to buy fantastic companies when they’re trading for bargain prices — below their underlying worth. Then, you sit back while the market realizes the company’s value — the profits will come.

These opportunities may not come often, but they’re worth the wait.


Turn Your Images On

Mistake No. 2: Selling Quickly

Another thing new investors tend to do that hurts their moneymaking potential: They sell too quickly.

At the slightest drop in a stock, they panic — afraid that it's the start of a downward spiral.

And while selling out might seem like an easy way to avoid a loss, this is no way to make long-term profits.

As subscriber Scott C. said:

The one thing I have learned… is patience.  Once Banyan Hill recommends a stock, you must be patient because the markets move up and down, but your picks always end up skyrocketing higher.  I will continue to buy stocks your service recommends, as I have done very well over the years… Thank you for all the great services you offer!

We’re glad you mastered this step, Scott! You’re well on your way to a lifetime of profits.

The truth is that stocks aren’t just wiggles and jiggles on a chart — they’re pieces of a business.

So, as long as that business is rock-solid, it’s only a matter of time before the stock price rises to meet its underlying worth. If that changes, if the business becomes less solid, then investors should consider selling. Otherwise, price moves are just noise.

That’s why patient investors like Scott — those who invest over the long term rather than the short term — make real money.

Mistake No. 3: Not Following a Plan

And finally, if there’s one sure-fire way to lose money in the market, it’s by investing without a solid approach.

Without one, many new investors end up taking stock tips from anyone, anywhere. And that kind of investing leaves you with willy-nilly returns.

You need to have a plan.

As one of our new subscribers, Gary J., told us…

I've tried investing on my own now for about a year. I made nice little gains followed by bigger losses. I read every book and followed a few gurus with no luck. I was looking for one last go of it before I was going to quit when I found you…

Gary didn’t have a plan … and it hurt his portfolio.

But if you follow our favorite approach — picking a company in an industry with a tailwind pushing it forward, that’s being run by a rock-star CEO and selling for a bargain price — you’re going to profit.

This is the approach that Charles has honed for nearly 40 years: the Alpha-3 Approach.

And it’s made his readers some serious money.

Those who have been following Charles have already seen the kind of returns this approach can hand you…

After three months with Charles’ Alpha Investor research service, subscriber Tim P. reported 44% gains in one of his positions.

Karl B. saw gains of 22% for his portfolio in just two months.

And in just a month, Jeffry M. saw one holding bring a 23% return!

By following Charles’ Alpha-3 Approach, you’ll never be tempted to overpay for a stock or sell too quickly again.

And if you avoid these common mistakes in the market, you’ll set yourself up for more safe and consistent gains.

So, if you want the opportunity to follow Charles’ research and recommendations and start profiting today, don’t hesitate — join the Alpha Investor family!

Sign up here!

Regards,

Turn Your Images On
Nicole Zdzieba
Assistant Managing Editor, Alpha Investor

Turn Your Images On

Turn Your Images On

Investor FOMO vs. Intelligent Investing

Turn Your Images On

Famous Hockey Mom's Shocking Investment Confession…

Turn Your Images On

More Bad News for 2021? This Earnings Season Tells Us

Turn Your Images On

Retired Wall Street Legend Reveals Massive Profit Opportunity


Turn Your Images On  Turn Your Images On  Turn Your Images On

Turn Your Images On

Privacy Policy
The American Investor Today, P.O. Box 8378, Delray Beach, FL 33482.

To ensure that you receive future issues of American Investor Today, please add info@mb.banyanhill.com to your address book or whitelist within your spam settings. For customer service questions or issues, please contact us for assistance.

The mailbox associated with this email address is not monitored, so please do not reply. Your feedback is very important to us so if you would like to contact us with a question or comment, please click here: http://banyanhill.com/contact-us

Legal Notice: This work is based on what we've learned as financial journalists. It may contain errors and you should not base investment decisions solely on what you read here. It's your money and your responsibility. Nothing herein should be considered personalized investment advice. Although our employees may answer general customer service questions, they are not licensed to address your particular investment situation. Our track record is based on hypothetical results and may not reflect the same results as actual trades. Likewise, past performance is no guarantee of future returns. Certain investments carry large potential rewards but also large potential risk. Don't trade in these markets with money you can't afford to lose. Banyan Hill Publishing expressly forbids its writers from having a financial interest in their own securities or commodities recommendations to readers. Such recommendations may be traded, however, by other editors, Banyan Hill Publishing, its affiliated entities, employees, and agents, but only after waiting 24 hours after an internet broadcast or 72 hours after a publication only circulated through the mail.

(c) 2021 Banyan Hill Publishing. All Rights Reserved. Protected by copyright laws of the United States and treaties. This Newsletter may only be used pursuant to the subscription agreement. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of Banyan Hill Publishing. P.O. Box 8378, Delray Beach, FL 33482. (TEL: 866-584-4096)

Remove your email from this list: Click here to Unsubscribe

No comments:

Post a Comment