To be honest, it was a friend who introduced me to stocks. He made 200k in two years. I tried it and put little money that was not even 1% of my entire year’s salary, as I am aware that one should put money they are okay with losing and will not affect their entire lives in just one second. However, little did I know that the trading platform I was recommended by said friend is CFD, which is entirely different to investing. And I lost that entire 0.5% of my yearly salary.
Thanks Aron! You didn’t tell me CFD is risky!
The loss wasn’t that huge but still considerable. Now I do proper investing and set aside 10% of my monthly wage to investing into my stock portfolio, which I am confident will grow in years to come. But then a quarter of that money I set aside monthly, I would put it into CFD. I started in CFD, so might as well steam ahead with it. With lesson learned, more research and practice under my belt, I am confident that I have good grasp of trading but I will still be playing safe enough. If I stick to my strategy and remain patient, I should be able to earn some profit even if it’s not the same 20% again.
IMHO CFDs are nothing private investors should ever touch. It’s like taking a loan to buy and sell stocks and as said - the market is not predictable. Institutional investors have far better and way earlier insights than you as a private investor. You have no chance in beating them. Sure, one can be lucky, as your friend. But that’s not investing then. That’s gambling. You can as well multiply your portfolio in a casino, but for obvious reasons that is not a good idea.
CFDs are a bad joke. “You don’t own the stock at all, and your purchases won’t affect the price, and we sell your buy order data to exchanges so they know how to fuck you, and if you get lucky we’ll definitely prevent your trades - but hey, happy trading!”
I guess there are valid use cases for CFDs such as securing an aquisition or a loan against stocks. But it’s not an instrument to get rich with for private investors.
To be honest, it was a friend who introduced me to stocks. He made 200k in two years. I tried it and put little money that was not even 1% of my entire year’s salary, as I am aware that one should put money they are okay with losing and will not affect their entire lives in just one second. However, little did I know that the trading platform I was recommended by said friend is CFD, which is entirely different to investing. And I lost that entire 0.5% of my yearly salary.
Thanks Aron! You didn’t tell me CFD is risky!
The loss wasn’t that huge but still considerable. Now I do proper investing and set aside 10% of my monthly wage to investing into my stock portfolio, which I am confident will grow in years to come. But then a quarter of that money I set aside monthly, I would put it into CFD. I started in CFD, so might as well steam ahead with it. With lesson learned, more research and practice under my belt, I am confident that I have good grasp of trading but I will still be playing safe enough. If I stick to my strategy and remain patient, I should be able to earn some profit even if it’s not the same 20% again.
IMHO CFDs are nothing private investors should ever touch. It’s like taking a loan to buy and sell stocks and as said - the market is not predictable. Institutional investors have far better and way earlier insights than you as a private investor. You have no chance in beating them. Sure, one can be lucky, as your friend. But that’s not investing then. That’s gambling. You can as well multiply your portfolio in a casino, but for obvious reasons that is not a good idea.
CFDs are a bad joke. “You don’t own the stock at all, and your purchases won’t affect the price, and we sell your buy order data to exchanges so they know how to fuck you, and if you get lucky we’ll definitely prevent your trades - but hey, happy trading!”
I guess there are valid use cases for CFDs such as securing an aquisition or a loan against stocks. But it’s not an instrument to get rich with for private investors.