Even if your opinion is in line with mine, because I see it the same way, I don't think your general conclusion is correct and I'm more with @Metis. I know many people here who follow my high-risk approach and also discuss it, but for whom it is inconceivable to live with drawdowns of 40-60% or to accept total losses on derivatives. Everyone's expectations and risk appetite should simply match. Then, in my view, everything is fine.
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2020
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@Multibagger I'm with you on that, Chris.
Expectation horizon and risk must go together. I just think it's important to be honest with yourself: 'security' is often just another word for sacrificing returns. But the problem is that most people just don't want to realize that... otherwise I wouldn't have written this post in the first place. If you are fine with less performance for your peace of mind, all good.
Expectation horizon and risk must go together. I just think it's important to be honest with yourself: 'security' is often just another word for sacrificing returns. But the problem is that most people just don't want to realize that... otherwise I wouldn't have written this post in the first place. If you are fine with less performance for your peace of mind, all good.
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13H
@Eliasmrll But security is exactly what people want for their peace of mind. People know that they are losing out on returns.
But the price for more returns is too high for them. And that's perfectly okay.
But the price for more returns is too high for them. And that's perfectly okay.
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