Share is actually a creation of man. So the share will have its character just like a man. Choosing a share is as important as choosing a man/woman for yourself.
Risk to Marry a Stranger Man
- because you are not sure who is this man(will he is a doctor, lawyer, accountant, conman, ect)
- because you are not familiar with this man(his habits, living style, hobby,thinking,etc)
- because you dont have knowledge or info of this man
- because you cannot contorl this man
Risk will appear
- because you not sure about share investment
- because you not familiar with share investment
- because you dont have knowledge of share investment
- because you cannot control the share
Returns
-is money earns from investment minus all cost related
High risk, High return!
Low risk, Low return!!
No risk, No return!!!
Is that anyway that Low risk High return scenario happen in Share Investment?
That is possible but need a lot of study, research, filter, timing and understanding of the share.
Always prepare for the worst scenario - just like you did not study a man/woman, and decide to marry him/her - like this - it is depend on luck. Never depend on luck when investing is share market.
To avoid Risk in share investment. you have to ask yourself -
- Are you sure you heard this company before, ask at least 10 people to get your answer.
- Are you familiar with what the company doing?
- Are you have the knowledge of the company operation and how they make money?
- Are you able to control the update of the company?
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