Understanding your attitude to risk and learning from mistakes

Thrugelmir

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

Malthusian

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Thrugelmir

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

Bobziz

Thrugelmir said:

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

And how did your portfolio fare during that period ?

eskbanker

Thrugelmir said:

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

....in which case early 2008 would indeed have been during 'the initial market downturn'!

Thrugelmir

Bobziz said:

Thrugelmir said:

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

And how did your portfolio fare during that period ?

Not particularly well. As took six years for capital market values to recover. Hardly surprising given the turmoil caused by the GFC. As an example.  The nationalisation of Northern Rock came as a complete shock. Despite it's problems. No one expected the outcome. You'd have thought that mortgage lending was a straightforward business activity. In the end it took the Treasury six months to ascertain the company was insolvent. The 132 page report that was produced was a fascinating read.  Even after many years of investing. Totally changed my perspective as to the type of individual company shares that I invested in.

Bobziz

Thrugelmir said:

Totally changed my perspective as to the type of individual company shares that I invested in.

In terms of the opaqueness of a companies operating model ?

Malthusian

Thrugelmir said:

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

...then flapped about until mid-2008 as the credit crisis took hold, started a continual downturn in mid 2008, and hit bottom in 2009.

Thrugelmir

Malthusian said:

Thrugelmir said:

Malthusian said:

Thrugelmir said:

jamesd said:

I really started investing with the initial market downturn in early 2008 

Not 2009?  Wasn't until Lehmans collapsed in September 2008 that the markets went into freefall with concerns over the global banking system. 

In or around September 2008 would probably be the "initial market downturn" then. 2009 was the bottom.

Markets peaked in 2007.  

...then flapped about until mid-2008 as the credit crisis took hold, started a continual downturn in mid 2008, and hit bottom in 2009.

RBS managed a £12bn rights issue in April 2008. Less than 6 months later it was insolvent. (A stock I didn't hold in my portfolio fortunately). 

csgohan4

if you want to sleep well at night, do not invest in shares unless you can tolerate significant total losses

You do not have an edge unless your Warren Buffet

Best to go long and play Long for long term investments, try not to panic and sell at a loss for those index trackers, look at how they recovered post march 2020

Keep your portfolio simple

Stick to your investment strategy or at the very least have one, rather than I have 100k where do I put thread.

Start with low cost passive index tracker before you feel more confident branching out and adding satellites e.t.c

There is no one portfolio is the best, it's what's best for you and your risk appetite

Take the pain with the gain