Let’s say, you bought a stock at $10 a share some time ago. Today, it dropped to $8 a share. Would you:
a. Sell to cut losses?
b. Hold on, hoping for a rebound?
c. Buy more to average down your cost per unit?
It is common for people to buy stocks, hoping that their prices would rise in the near future. However, most of them don’t have a clue as to what and how they should go about dealing with falling stock prices.
Ian Tai, my partner and co-founder of DividendVault.com shared a handful of case studies to illustrate a systematic approach to answer the question above in order for us to manage our stock portfolios better.
You will learn about:
- Simple Action Steps to Deal with Stocks with Capital Loss.
- Which Capital-Loss Stocks are ‘Recoverable’ and Which are Not?
- How to Spot Our Investment Mistakes via Post-Mortems?
- How to Identify True Stock Bargains that Could Enhance our Wealth?
- Possess Unfair Advantages in the Stock Market via Value Investing.