To return to the forum homepage, please click the banner at the top of your browser.
Started by Money Ronin, February 05, 2019, 12:50:39 AM
Quote from: ForgingFinance on April 07, 2019, 12:01:31 PMI actually took on too much risk in my 20's, losing more than I care to admit thinking I could play hedge fund manager. I'm fortunate enough to have had the presence of mind to take a deep dive into my investments around the age of 29. I compared my individual stock investment results with what would have happened had I invested in a total market index fund instead. The results were ugly and motivated me to get on a better path.
Quote from: Money Ronin on February 05, 2019, 12:50:39 AMTaking too little or too much risk? I am risk averse by nature so for me it was taking too little risk. Examples include buying a smaller house than I could afford in an location where appreciation has been significant or always taking the 30 year fixed rate loan over a 5 year arm. Just these two decisions alone probably cost me hundreds of thousands. As I grew older I learned to take more risk financially and it has made a world of difference. That's what separates me from my peers who are well paid working professionals but likely will never attain FIRE. Not that FIRE is necessarily their goal but I feel most people (among my peers) are overly risk averse given their financial situation and age.