When I invest in stocks, I always emphasize that

When I invest in stocks, I always emphasize that you should maintain 5% of your cash holdings (10-20% when the adjustment site is likely to come and 30% when the market is likely to collapse).

It’s very difficult if you actually put it into practice that you keep 5% of this cash holdings.

It is a loss in opportunity costs to leave the money you have saved for investment in your bank account without investing it. How much will it be in the bank? If you leave it alone, it will be a loss. It is also a normal psychology to think, ‘I’m going to make money by buying stocks because I saved it for investment.’

And let’s say you actually bought 5% in installments at the right time and made an investment. So you have to sell some of the stocks that you’ve invested in, whether you’re selling them or not, and you’re making 5% of the cash again. You’re thinking about what to sell.

I can’t help but wonder if I should sell something that has risen a lot, something that doesn’t rise well, or something that I’m losing. Still, you have to make a decision and raise 5% cash again as soon as you invest.

5% of cash holdings seem to be losing money, but in the long run, this is the most profitable habit of investing in stocks.

For your information, Warren Buffett took 30% of his cash holdings in early August. This is the stance you take when you expect an all-time crash. Maybe he expected a September base rate freeze or increase due to overheated AI.

At that time, Buffett purchased a large number of new housing construction industries such as Lena with his cash holdings. As a result, Buffett’s expectations were wrong.

If the proportion of cash holdings is too large, the cost of not investing will increase, which is not good. About 5% is enough. Of course, in the booming market, you have to buy 0% of your cash holdings, or full purchases.

As of this year, 5 to 20% is appropriate for November.

As soon as November comes in, we sell leading stocks that have risen a lot, and we buy financial stocks, tire stocks, and S-OIL as circulating sales. The day before yesterday, I told you before the crash that you should pick up the money you sold at the high point at a low price..

You make the most money when you invest in stocks with that attitude of losing less money. It’s ironic