Bitcoin Forum
October 21, 2018, 07:24:02 AM *
News: Make sure you are not using versions of Bitcoin Core other than 0.17.0 [Torrent], 0.16.3, 0.15.2, or 0.14.3. More info.
 
   Home   Help Search Donate Login Register  
Pages: « 1 [2]  All
  Print  
Author Topic: Permanent portfolio: When you can't afford to lose money  (Read 117 times)
calya
Sr. Member
****
Offline Offline

Activity: 504
Merit: 250



View Profile
May 31, 2018, 01:24:41 AM
 #21

The first rule warren buffett likes to say about investing is "don't lose money," and the second rule is "never forget rule one." I also believe that preventing losses should be the main objective of every investor.

This does not mean that investors should never take any risk of loss. Because any investment is risky, what we can do is to minimize the risk.
if any invesment portofolio have no risk, maybe i will put all money in that.but no one can guarantee about that.the first thing that we have to prepare is mentality and risk management.

.
                ▄▄▄▓▓▓▓▓▓▓▓▓▓▄▄
            ▄▄▓▓▀░░░░░░░░░░░░░░▓▓▓▓
          ▄▓▓░░░░░▄▄████████▄▄░░░░░░▓▓
        ▄▓▀░░░░██████████████████▄░░░▓▓▌
       ▓▓░░░▄██████████████████████▄░░░▓▓▄
      ▓░░░░█████████████████████████░░░░▓▄
     ▓▓░░░████████████████████████████▌░░░▓
    ▐▓░░░▓████████████░░░░░████████████░░░▓▓
    ▓▓░░░█████████████▓████▓███████████▌░░▐▓
    ▓▓░░░█████████████▓████████████████▌░░▐▓
    ▐▓░░░▓████████████▓░██░████████████░░░▓█
     ▓▓░░░████████████▓░██████████████▌░░░▓▌
      ▓▓░░░███████████▓██████████████▀░░░█▌
       ▓▓░░░░█████████▓▄███████████░░░░█▀
        ▓▓░░░░░██████████████████▀░░░░▓█
          ▓▓░░░░░░▀██████████▀▀░░░░░▓█▀
            ▀▓▓░░░░░░░░░░░░░░░░░░▓█▀
                ▀▓▓▓▓▓▓▓▓▓▓▓██▀▀▀
██
██
██
██
██
██
██
███ BRIDGING MARKETS ███
AN ALL INCLUSIVE ECOSYSTEM
██
██
██
██
██
██
██
██  Social Media  ██
██▄███████████████████▄
██████████████████████▌
██████████████████████▌
████████████     █▀███▌
███   █████        ▐██▌
███               ▐███▌
███               ████▌
████             █████▌
█████▄▄         ██████▌
████         ▄████████▌
██████████████████████▌
██████████████████████▌
▄▓█████████████████████▓▓▄
▓██████████████████████████▌
███████████████████▓▓▀  ▓██▌
██████████████▓▀▀       ▓██▌
████████▓▀▀      ▄█    ▐███▌
███▓▀        ▄▄▓▀      ▓███▌
███▓▄▄▄   ▄▓█▓         ████▌
████████▓ ▓▌          ▓████▌
█████████▓    ▄       █████▌
██████████▌ ▄▓██▓▄   ▐█████▌
███████████████████▓▓██████▌
▐██████████████████████████
  ▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀
██
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1540106642
Hero Member
*
Offline Offline

Posts: 1540106642

View Profile Personal Message (Offline)

Ignore
1540106642
Reply with quote  #2

1540106642
Report to moderator
1540106642
Hero Member
*
Offline Offline

Posts: 1540106642

View Profile Personal Message (Offline)

Ignore
1540106642
Reply with quote  #2

1540106642
Report to moderator
1540106642
Hero Member
*
Offline Offline

Posts: 1540106642

View Profile Personal Message (Offline)

Ignore
1540106642
Reply with quote  #2

1540106642
Report to moderator
slyfox
Member
**
Offline Offline

Activity: 350
Merit: 10


View Profile
May 31, 2018, 04:27:14 AM
 #22

   I just finished with reading this article:
-https://www.investmentu.com/article/detail/28526/harry-browne-permanent-portfolio#.WvCtVJeZG00

   "Dividing investment money into two categories:
-Money you cannot afford to lose.
-Money you can afford to lose.

   This Harry Browne talks about traditional economy. He made me think about it and I replaced
that traditional with crypto-currencies. Money younot afford to lose should go to main coin`s,
with money you can afford to lose you can risk a bit more.
   
"Once each year, you rebalance the portfolio. If any part of the portfolio has dropped to less than 15%
or grown to over 35% of the total, then you reset all four segments to 25%."

    This is something I didn`t try, but I see the point. In article he explains:
   "Because this asset allocation is diversified, the entire portfolio performs well under most circumstances."
Can we claim the same for crypto-currencies? My opinion is yes.
   
   Great article, I hope after reading it you will think the same. Some people already know`s a lot about this
kind of strategies, but as someone new I am still learning about many thing`s.
   
   My current portfolio is:
-60% in real-estates
-10% in banks and precious metals
-30% in crypto-currencies

   Do you have any suggestions, comments or proposals how portfolio should look. What would be
a winning combination for the future?
I disagree a little with this, the only money that you should invest is the one that you can afford to lose, if you are investing money you cannot afford to lose you will suffer the consequences eventually, also even if you invest in very good projects with money you cannot afford to lose at some point the investments will go down like what happened with bitcoin a few months ago and the risk of panic selling at that point will be very high.
patarfweefwee
Member
**
Offline Offline

Activity: 364
Merit: 11


View Profile
May 31, 2018, 04:31:23 AM
 #23

For me, investments is really money that I'm willing to lose. That's whay i risk them out in investments like stocks and crypto currencies. I don't want to be the person that invested everything and when it all fell, theyare left with nothing. But then again, if you think that it works for you then go right ahead. Me personally I'm good where i am.

Pages: « 1 [2]  All
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!