1. Professional investors have better information and faster computers than you do. You will never beat them short-term trading. Don’t even try.
2. The decline of trading costs is one of the worst things to happen to investors, as it made frequent trading possible. High transaction costs used to cause people to think hard before they acted.
3. Professional investing is one of the hardest careers to succeed at, but it has low barriers to entry and requires no credentials. That creates legions of “experts” who have no idea what they are doing. People forget this because it doesn’t apply to many other fields.
4. Most IPOs will burn you. People with more information than you have want to sell. Think about that.
5. When someone mentions charts, moving averages, head-and-shoulders patterns, or resistance levels, walk away.
Finally, unrelated to the above, please note that we offer a free half-hour discussion with you to allow you to see whether our one-on-one coaching program ($C300.00 including taxes) suits your investing needs. Contact me at milan@drmilan.com.
