The Risks and Rewards of Investing | Phil Town

Question for you guys: Do you think that the stock market is overall risky? Is this keeping you from investing entirely? Let me know here. If you enjoyed this video, definitely check out my FREE PDF download, 3 Stock Market Myths http://bit.ly/2FT9TMA

I’ve been trying to earn from trading for like 2 years. My biggest mistake was giving Timothy Sykes $7,000 for the whackiest trading mentorship ever meanwhile I could simply invest with the help of Mrs Terriese White an expert trader and its been very profitable.

Uncle Phil. How does the retail investor actually find quality companies? We are looking at the same glossy annual reports and quarterly financial statements everyone else has. If management is dishonest, those public statements can all be a pack of lies to some degree. It seems to me whenever a company crumbles (whilst the rest of the market is okay), is because of something nobody would of determined from their publicly available statements. This idiosyncratic risk has bit me so many times. Most recently in the mining and shale oil industries. I find I am much better off owning the market and putting my energies toward proper dynamic allocation between stocks, bonds and cash. I find it much easier to see the risks of the big macro picture than the individual micro risks in each underlying company. Going light in equities and heavy in bonds when the overall stock market is overvalued and vice versa has been the single most contributing factor to my financial success. I would love to hear how you address this issue.

I began trading two weeks ago with sir clegg I collected my first cash out today of $10,000 which was a profit of the $950 ,i just couldn't believe myself till it came through successfully and i'm never going to stop trading with him,he's just simply the best. you too can contact him via email at cleggtristan@gmail"

After saying hold on to your cash….markets are over priced… You went ahead and made more videos saying how to invest in shares now??? So much contradiction?

Hello sir,
I guess stock market is not about risks and rewards but it's more about ourselves the way we think the way we analyse about a company it's fundamentals, financials, future plans and the way we respond to our investment while it turned into a risk and the way we manage the risks to get rewards I feel like it's mostly about ourselves we're the ones investing and we're the ones who gets rewards and even faces risks apart from ourselves there are many other factors that which we might not be able to see like other side of the coin.
Finally risks and rewards are just the reactions of our actions.

Sir pardon me,
I'm not good at forming sentences but I guess I did my best ☺️
Peace ✌️

Dear Phil if was investing 50k.how would you do it?

Can I make a million dollars with 10k in 1 year of investing ?

Amazing video Phil !!.. Can u please make a video on selling of shares i.e. when to sell.. how to sell…and how much to sell.

You should do a video on how to read the WSJ and Barron's.

Handsome older man 😉

Hey Phil ,
Loved the content , can you talk about Dividends , EPS, or about how to pick the right stock at the right time in your next video?

Thanks Phil honestly I learned from this rule one investor more than the intelligent investor
Thank you for honest hard work book "guide"

On Emh , thanks for confirming ?

Thank you Mr Phil for the valuable info on stock market. I have invested in stock market knowing that it is risky. To answer the question, bottom line of investing in stock market is you don't make omlette without breaking a few eggs. I got returns after getting losses for a full quarter.

I really need to study for my exam but here I am watching this.

graham followed the cycles i try to, i m not to sophisticated on bonds , but in a crash , i go all in over 2 years then 25% cash over 2 years then 50% cash over 2 years then 75% then back to all in

Don't buy when prices are high !

basically buy when there is a crisis and prices are low…like Buffett did in 2008…and buy reputable companies with good product who sells well… that way you will save yourself a lot of trouble…. there is always is a risk in investing and many other things in life…do this and you will mitigate the risk substantially…

While I agree with your sentiments, the problem is that we are working with limited knowledge. This leads to buying opportunities. I like buying stock right after some emotional downward swing. The media is really dumb and causes many traders to do whatever. And of course you are right to only invest in companies that you believe in. Still, everything you know is common knowledge, but incomplete. Businesses are not transparent, by design. And this leaves a lot open to interpretation. And this proven track record of growth, is as a rule factored in the stock price.

If you can ACTUALLY figure out what is underpriced in the market, which management has the right motivations, etc… You would rightfully have a good chance of beating the market. In that case, portfolio managers who are handpicked to make these decision with their army of analysts should be well armed to make these judgements.

Sadly, historical data is against you. Active managers systematically underperform the market in the longterm. One is statistically highly unlikely to make a diversified portfolio of handpicked stocks that will outperform the market, including fees or taking more risk than one realizes.

But you rightfully point out this video is opinion-based. I like my investing data-based.

I’ve been saving money, but I haven’t invest bc I don’t know how to value a company.

Knowledge and experience lowers risk level in investing! Otherwise, you are 100% correct, it's just a gamble.

Thank you for your insights Phil. I have something in my mind when watching this video. Businesses usually have some period where their performance declines. To my knowledge, many companies are on sale when it happens. However, how could we determine that it is only a temporary slump?

Got your audible ready and I’m currently waiting on the paper back that I’ve ordered for reference to the graphs and examples you talk about . ???

The only thing keeping me from investing are my parents?even with my own saved up money?
I just turned 16 few days ago!?two years to go! ?

“Dishonest management. Self involved management.” @(2:33)
That’s what makes things too risky because it conceals real risk from the eyes of real investors.

Yes it is risky, but it is why one can make money in it. There are very many factors that can decide the short term outcome of your stocks. Therefore it is the best advise that you are giving, because you allow for the ability to be a long term investor, without loosing any sleep.

Splendid video

investing is complex nonetheless regardless even Warren has made investing mistakes.

Great video. I think one of the biggest misconceptions people have about the stock market is that it is so risky and there is a big chance you will lose your money. Many people don't realize that you can manage your risk. You can also choose the level of risk you wish to have. Thank you for the video!

I am struggling to learn things you mentioned. Thank you very much for making this video. It really inspired me. Please share help to me. Thank you very much

Great video as always, Phil. There’s a question that’s been nagging at me for a while, though. What do you get out of encouraging people to come for free to your three day seminars? You say in your webinar you’re not selling anything. What is there for you to gain by spending that much of your time and money just giving away free and valuable advice? At least with your YouTube videos there’s ad revenue, and it probably helps with book sales, but these seminars must cost you a lot to put off. I’d really appreciate it if you could shed some light there. Thanks as always for your videos!

Hi Phil Town, tanks for your videos, you are inspiring me to become better at trading. Your contenents are well expressed and clear.

Like this if Phil stays killing it!

The stock market will always be risky but you have a responsibility to reduce the risk by doing your won due diligent. Do your own research. Learn. Understand. And then you'll make great decisions

Without looking at a share price, how to I calculate the price per share of a company like buffett does? Tried couple of times, didnt went so well.

Just had this lecture today at uni. Perfect timing

Yes, I think it is risky but only in the event we have a major global conflict that ends globalization and what we currently see as human civilization. I bought your book a few months ago and you're one of a few individuals to inspire me to take control of my financial life. I'm making just shy of 90k/yr and putting almost half into investments while scrutinizing every purchase I make. I hope to one day ride horses on my own homestead and spend my days doing what I want. Thanks for making content

I am a genuine fan of you , just I want you excelling so I wanna contribute in suggesting you that please make video as short as you can , cut things in mkilli seconds even…

Risky if you don't put in the time to study the market, rewarding otherwise. People can get steady returns just by investing in mutual funds and being patient.

I have a significant amount of liquidity and don’t know the right direction to invest. Currently 54 (single/no kids/homeowner) with various employer 401Ks plus a Roth. Low tolerance for risk since I’d like to retire in the next 10-12 years.