I started investing when I was 21, using money from my software engineering internships. Here are my experiences distilled in 5 rules
- Don’t lose money. This is challenging: there’s inflation, taxes, major medical costs, etc. Collorary: health is wealth, and tax efficiency matters
- Not taking a risk is a risk. Collorary: what is safe short term may not be long term, ie. no job is permanent
- Managing money is a valuable skill: you can learn it or outsource it. Either way it will cost $$$
- Only invest in quality stocks. My shares in Home Depot and Apple have doubled in price in less than 2 years. Buy and hold is a valid long term strategy
- Avoid overtrading. Journal every entry
I’m learning to trade options to take advantage of the specially volatile stock market. Will share the results soon.