“East Economic Online column now published” You’re stepping on the accelerator too hard
Good morning, this is Matsushita.
Two weeks in a row, the week before last and last week,
we held seminars over the weekend,
and I met a large number of investors.
Towards the profits of 2017 and of lifetime profits,
I have seen investors who are diligently learning,
and it always makes me return to my初心 (note: this term is often left as is in translation);
Although sixteen years have passed since I started investing,
I feel every day that I cannot sustain profits unless I continue learning.
Every Saturday, I deliver a column on topics related to investment.
Today's theme is "Accelerator."
An accelerator is used to make a car go faster, and in investing,
there are times when you step on the accelerator as well.
If you imagine a car accelerator,
you should know when it is okay to press the accelerator in investing, so
until that moment, let's avoid pressing the accelerator in the wrong way.
【Column】 Makoto Matsushita's Investment Exploration
No. 183 "Accelerator"
In investing, putting a large amount of funds into a single trade is equivalent
to pressing the accelerator in driving a car.
If you press the accelerator while driving, your speed
will rise, allowing you to reach your destination faster. However, the higher the speed,
the greater the risk of an accident. Also, accidents that occur at high speed
are not hard to imagine as having tragic and fatal consequences.
When you invest a large amount of money, you must have confidence in your ability to control your funds afterward
(in the above example, car driving).
Among the events that follow, you must be able to control your capital safely and
arrive at the conviction that you will not invite tragic results, otherwise you should not
invest large sums.
When you do not know what may happen to you, you should not press the accelerator.