Firstly, a very hearty welcome to my blog!
This is my first post, and I am thrilled to share with you that writing about personal finance had always been a goal for me.
I finally mustered enough courage to start this blog even though I am a newbie in the world of finance myself.
Holding a master’s degree in finance does not immunize me from feeling intimidated by all the finance jargons out there.
I mean, have you ever heard about the concept of compounding your wealth? It is being thrown around like confetti, but not made to seem half as fun!
Hearing it for the first time also made me feel bleh. It was boring, serious, and scary.
However, I would not delve into the art of compounding in my first post because there needs to be more groundwork covered, and frankly, I want to let you all know a little bit more about myself, and how I accidentally became an investor!
It all started in the lockdown of 2020…
There was a huge crash in the Indian stock market in March 2020 due to Covid-19.
Everyone was talking about it in every financial publication and business news channels. After the crash, the stock market has rallied in a northbound journey without stopping to look back.
My friends started to take advantage of the situation by investing in the markets, and day trading stocks.
I was inspired by the buzz around me and I started to day trade stocks from May 2020.
I took online courses to sharpen my day trading skills.
It was great until I started to lose more money than I made.
After reflecting on my trading style, I realized something important.
As a beginner, day trading was a bad idea.
Although I had good strategies in my arsenal, I was unaware of the rules.
I was unaware of the risks, money management principles and I lacked self-discipline.
I was not prepared to handle the time-sensitive nature of day trading stocks.
Then what happened?
Luckily, there is more than one way to participate in the stock market to reap the benefit of returns.
I discovered the art of investing.
After having considerable experience in day trading, I learned some important virtues of growing wealth. One of them being time.
I spent my time learning to differentiate good stocks from junk through fundamental analysis.
Once I bestowed the luxury of time to the stocks I purchased and held in my portfolio, I could see considerable returns.
So, if I have to put it all in a nutshell, I would say –
I failed my way to being a successful investor.
With this blog, I intend to share my mistakes and lessons with you so that (you can make new ones? Just kidding!) it can save you a lot of effort and shorten your learning curve if you plan on entering the stock market in the future.
I will also be sharing a lot of resources with you to get you started on your journey of making money through stocks in my subsequent posts.
Thank you so much you guys for reading till the end.
I hope you enjoyed reading it as much as I had fun writing it.
I will be seeing you all soon with a new blog post, can you guess what I would be writing about? Let me know in the comments!
Below I have attached a glossary of terms used in the post 😊
Day trading: Buying and selling stocks on the same day
Investing: Buying stocks to hold them for more than a year
Fundamental Analysis: Measuring a stocks’ value based on economic and financial factors