In investing you want to seek individual investments that are the outliers, that represent low risk, and high return. Additionally you may consider betting against those that represent high risk, low return for investors. In any case, you want to seek out the “outliers” of the following chart. Although everyone wants a higher return,...
A big part of the concept of using the principals of the “kelly criterion” in your advantage is understanding that you can leverage multiple bets simultaneously if they are INDEPENDENT and that the more independent profitable bets at once, the better (with all other things being equal). The markets rarely have complete independence and...
This website talks a lot about how to invest in stocks and how to buy and hold stocks and different money management strategies pertaining to stocks, but it does not go into details of how to invest money. To some they may think it’s the same thing, so I hope I am able to...
There are plenty of safe investments. The idea behind a safe investment is to hedge or guard against losses, and let the upside be unlimited. Any stock can accomplish this if you manage it well from some aspects, but you still risk losing a lot on a particular investment so with stocks you will...
Humans have a tendency to drastically over estimate their own abilities as well as things they believe on, and as a result take on too much risk. Ironically this causes many others to fear making a mistake after failing just once and become too conservative. It’s important to have a good balance of just...
There are some people who think that the loans for the unemployed might be charity loans, but this isn’t true as these types of loans are for benefits of the unemployed and the benefits are for both the lender and the borrower. If you go few years back in those times the creditors were...
If you have never been your own boss, then you may not truly understand the time, effort, and commitment it might take to run a successful vending business. Many people think that a business in vending will be easy and allow them loads of free time. Unfortunately, this is not necessary the case. The...
When trading stocks it’s never about how much money you make in a single trade. It’s not about how much you risk vs how much you make in a single trade. There are 3 factors Time Amount Gained Amount Risked It’s about the best combination of all 3 of these. That means that the...
How to Trade Stocks – Investment Tips For Diversification Strategy & Asset Allocation If you are looking for good investment tips, diversification strategy and asset allocation are important things to look for when learning to invest and how to trade stocks. There are some common misconceptions about the difference between asset allocation and stock...