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How much is an affordable loss?
berns
#1 Posted : Monday, May 20, 2013 12:08:13 PM
Rank: New-farer

Joined: 2/8/2013
Posts: 27
Just like any other business,one must be prepared to lose,right? At the NSE,when is the loss enough? What criteria do you rely on?
guru267
#2 Posted : Monday, May 20, 2013 12:28:29 PM
Rank: Elder

Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
berns wrote:
Just like any other business,one must be prepared to lose,right? At the NSE,when is the loss enough? What criteria do you rely on?


10%-15% per investment is acceptable if you trade frequently..
Mark 12:29
Deuteronomy 4:16
berns
#3 Posted : Monday, May 20, 2013 12:55:14 PM
Rank: New-farer

Joined: 2/8/2013
Posts: 27
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?
MoneyMonger
#4 Posted : Monday, May 20, 2013 2:04:15 PM
Rank: Member

Joined: 4/25/2012
Posts: 110
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.
There is nothing as dangerous as an Idea, when there is only one Idea
obiero
#5 Posted : Sunday, January 22, 2017 9:31:21 AM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
MoneyMonger wrote:
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.

Upto 50% incase you are aware of the reasons behind the dip and subsequent recover.. 10% in the event you have no clue as to why the stock is sliding

KQ ABP 4.26
muandiwambeu
#6 Posted : Sunday, January 22, 2017 1:31:30 PM
Rank: Veteran

Joined: 8/28/2015
Posts: 1,247
obiero wrote:
MoneyMonger wrote:
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.

Upto 50% incase you are aware of the reasons behind the dip and subsequent recover.. 10% in the event you have no clue as to why the stock is sliding

Sometimes to the bin, its worth the lesson than the savings. I call them, border marks. Free alarm any day any time. You can't touch this, and you live happily thereafter. This is especially purposeful, a bit of the larger portfolio not everything. Its a mark that I need to retain, remember, and own up to. Sad Sad Sad always slotted a value of 1/ in my assets portfolio.
,Behold, a sower went forth to sow;....
obiero
#7 Posted : Sunday, January 22, 2017 2:12:48 PM
Rank: Elder

Joined: 6/23/2009
Posts: 14,217
Location: nairobi
muandiwambeu wrote:
obiero wrote:
MoneyMonger wrote:
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.

Upto 50% incase you are aware of the reasons behind the dip and subsequent recover.. 10% in the event you have no clue as to why the stock is sliding

Sometimes to the bin, its worth the lesson than the savings. I call them, border marks. Free alarm any day any time. You can't touch this, and you live happily thereafter. This is especially purposeful, a bit of the larger portfolio not everything. Its a mark that I need to retain, remember, and own up to. Sad Sad Sad always slotted a value of 1/ in my assets portfolio.

Honestly this @muandiwambeu chap is on hard drugs. Ama ni mimi tu ndio simuelewi

KQ ABP 4.26
muandiwambeu
#8 Posted : Sunday, January 22, 2017 2:30:29 PM
Rank: Veteran

Joined: 8/28/2015
Posts: 1,247
obiero wrote:
muandiwambeu wrote:
obiero wrote:
MoneyMonger wrote:
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.

Upto 50% incase you are aware of the reasons behind the dip and subsequent recover.. 10% in the event you have no clue as to why the stock is sliding

Sometimes to the bin, its worth the lesson than the savings. I call them, border marks. Free alarm any day any time. You can't touch this, and you live happily thereafter. This is especially purposeful, a bit of the larger portfolio not everything. Its a mark that I need to retain, remember, and own up to. Sad Sad Sad always slotted a value of 1/ in my assets portfolio.

Honestly this @muandiwambeu chap is on hard drugs. Ama ni mimi tu ndio simuelewi

Pole sana @obiero. Times themselves are equally confusing. But FYI, I only do tea. Building an empire of your own, may at times take you over to the realms of reality and especially now I am low on chums. Not everyday that we see a cloud with a silvery linning.
History is being rewritten and I gona dine with kings. Enjoy your Sunday.

,Behold, a sower went forth to sow;....
MadDoc
#9 Posted : Sunday, January 22, 2017 5:21:52 PM
Rank: Member

Joined: 10/26/2015
Posts: 151
obiero wrote:
muandiwambeu wrote:
obiero wrote:
MoneyMonger wrote:
berns wrote:
Affordable loss to me as a speculator. When the price starts coming down,at what point do I jump out?


My policy is to jump out if I make a loss of 10% without any hopes of a reversal soon. So, I also consider the reason for the drop. Sometimes I take in more than 10%.

Upto 50% incase you are aware of the reasons behind the dip and subsequent recover.. 10% in the event you have no clue as to why the stock is sliding

Sometimes to the bin, its worth the lesson than the savings. I call them, border marks. Free alarm any day any time. You can't touch this, and you live happily thereafter. This is especially purposeful, a bit of the larger portfolio not everything. Its a mark that I need to retain, remember, and own up to. Sad Sad Sad always slotted a value of 1/ in my assets portfolio.

Honestly this @muandiwambeu chap is on hard drugs. Ama ni mimi tu ndio simuelewi


Laughing out loudly Laughing out loudly He seems to have applied his 10% rule to the queen's language
Gatheuzi
#10 Posted : Sunday, January 22, 2017 6:02:51 PM
Rank: Veteran

Joined: 8/16/2009
Posts: 994
Only invest what you can afford to loose. That effectively means 100% loss.

I stopped trading and my picks tend to be those with a solid earnings history and a dividend (given that these are lifetime investments it is worthwhile to get income all along before I bequeth the same to my kids).

I would say the only factor that can trigger me to make a sale is if there is a notable change in business thay may never be outdone and conqured with time. A bear loss doesn't count nor is it even worth my worry.
Time is money, so money is time. Money saved is time gained in reverse! Money stores your life’s energy. You expend your energy, get paid money, and store that money for a future purchase made in a currency.
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