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6 biggest fallacies when investing in stocks
How you could lose money on the stock market
“Rule number one: Don’t lose money. Rule number two: Don’t forget rule number one.” — Warren Buffet
Making money on the stock market is not gambling.
Unfortunately, many people still think so, especially in Germany. But Germany is no exception. Again and again, I have to hear that the stock exchange is a place for gamblers. 90% of people lose a lot of money here! Good argument.
I answer then always: You are right! 90% of people lose money on the stock exchange. And you know what? 90% of people will fail with their business (like me). 90% of people don’t go to the gym after January. 90% of people are poor and not wealthy. 90% of people…oh…fuck the 90% rule! The thing is:
No matter what you do: You have to belong to the ten percent who are successful. Otherwise, you fail. It is the case with most things in life. Should I now stop trying things just because 90% of people are not successful? In my opinion, this is a mindset for losers.
You should be familiar with the evaluation and analysis of companies. Success is often nothing more than eliminating sources of error. I’m still a complete beginner myself.
