Many people may go bankrupt by investing in the stock market, so why do so many people still get involved?

When the bull market started in 2015, I didn’t understand what was a bull market or not. Anyway, I took 200,000 to enter the stock market at 3,000 points. About half a month ago, my account balance reached 250,000. I was so beautiful, I thought I was a stock god, so I took 800,000 directly from the company to enter the market, one million to one million. During those two months, I was crazy and didn’t care about anything. Only stocks. I read news and stock reviews every day, and buy and sell frequently. In this way, my 1 million has turned into 1.4 million. It's a bull market. At this time, the stock market was already over 4,000 points, and I entered the market with another three million principal. The heavy stock of China Railway is more than 8 yuan, and it is sold for 19 yuan. This is beautiful, not to mention how proud I am. I really feel that I will become the richest man by relying on the stock market in the future. I talk about stocks with people everywhere and talk about my experiences. Next everyone basically knew it, and it started to plummet. I don't know how to deal with it at all. Instead, I cry with regret at the loss. When I get angry, I clear my position. After a slight rebound, I immediately buy all my positions. Let’s talk about the result: The remaining 600,000 is out. So far, I haven’t bought any stocks, and my heart is broken. I have friends in securities and finance around me, so I just watch and listen to what they have to say, and I won’t waver anymore. Anyway, I'm too lazy to trade in stocks. Unless I understand the secrets of human nature, I still can't overcome my greed.

Let’s briefly talk about the mentality of stock traders:

1. Thinking you are smart: You always feel that you are smarter than the banker and other investors. It is them who lose, and you win.

2. Thinking that you will not lose the last straw: I always feel that I will be able to run first when the market falls sharply, or issue tickets before the dealer. In fact, the magic is higher than the road.

3. Gambling psychology, greed and getting something for nothing. Still too greedy.

4. Think that they are highly skilled; read various books on stock market trading, understand everything, and lose the most.

Summary: In life, you still need to be down-to-earth, otherwise what you get easily will eventually be returned. Stay away from gambling and speculation. Value investing is the right way to go about the stock market. I heard this principle from stock market tycoons, but I have no use for it.

I am Li Hewei: founder of the Bole Venture Capital Club, chief lecturer of the Venture Capital Business School, and the author of "Enlightenment and Action Entrepreneurship". Helped more than 300 entrepreneurs start their businesses successfully. Looking forward to sharing and communicating with you~~~

To say that stock trading will lead to bankruptcy, it may only be the radical people who sold their properties in the first half of 2015 and entered the market with leverage. Ordinary people use If you copy stocks with your own money, you will lose more than you win at most, and it may not be enough to lose all your family property. However, "one gain, seven losses, and two losses" from stock copying must be the inevitable result.

Now the question is, why are there so many people losing money in the stock market, but there are still so many people playing in it? Aren’t they afraid of getting the same fate of losing money? Why is stock trading so attractive? For this, we summarized the following reasons.

First of all, although everyone knows that "the stock market is risky," people are still willing to choose stocks for high returns. Because stock trading is an investment, a high-yield investment. Compared with fixed deposit interest in banks, the cycle is long and the return is low. Although the stock market has high risks, the investment returns are also large. Although the bulls are short and the bears are long, as long as there is a A bull market is enough to achieve financial freedom, which caters to people's desire to get rich overnight.

Furthermore, there is also a phenomenon of blind following in the stock market, because in the short term there will always be people who speculate in the stock market and get generous returns, which affects the people around them. For the people around us, the power of role models is infinite. If we follow him, we may also get a share of the pie. Of course, investment risks continue to accumulate after the stock market has risen for a long time, but many people will take a chance and feel that they will not be the last one to take over. I will be able to escape successfully before the stock market falls.

Thirdly, for most people, mainly working-class people, they live on a meager dead salary. These investors have never dared to start a business for fear of failure. It seems that in this life I can only live in peace. The A-share market is a place where investors can realize their dreams of financial freedom.

Although some people are out with losses, most people have a lucky mentality. What if I am the stock god? What if I happen to make a fortune in the stock market? Therefore, many young and middle-aged people will continue to join the ranks of investors.

Finally, many investors who are new to the stock market find that the stock market is a science and think that as long as they master this knowledge, they can make a fortune. So I love to study stock market techniques and analyze the rise and fall of stocks. I also have great enthusiasm for policy trends and fundamentals. So some people feel that they are technical masters after studying, but they don't know that it is not profitable to speculate in stocks based on technical aspects. Otherwise, stock commentators will all get rich. The highest state of the stock market is a playful mentality. Because the biggest skill of stock copying is to enter the market when the technical forms are all bad, and to run away when the technical forms are at their best.

The vast majority of people will lose money by investing in the stock market, but there are still more people who want to enter the stock market. Although the stock market is always "one profit, two flat, seven losses", some people see people around them making money and want to try it themselves; some people feel that if they want financial freedom, they can only rely on the stock market. Some people think that if you learn well in the stock market, it can be a shortcut to getting rich. There is also the bull-bear cycle of the stock market that occurs every few years, which can make people addicted to realizing their dreams of wealth. However, money in the stock market is really not that easy to make, and investors should still invest cautiously.

A-shares rise by an average of about 4% every year, which means that if you put 10,000 yuan in the bank, it will only depreciate by 5,000 yuan in ten years.

Put 10,000 yuan into the stock market, and as long as you don’t move it, it will become more than 20,000 yuan in ten years.

Why do some people lose all their money? These points must be paid attention to. Frequent trading enriches the brokerage, cutting the meat to stop losses, and indiscriminately exchanging stocks leads to big mistakes! !

It is recommended that when you first enter the stock market, you must hire someone who understands the market to teach you step by step for half a year. Otherwise, leeks will be harvested every day and eventually kicked out of the market!

A classic saying in the stock market is that the longer you stay, the more experienced you become, and the longer you live, the more money you make. Buffett only had 50,000 US dollars at the beginning, and now he has tens of billions. The old bird has hairy legs, and the young tree is full of wind!

After returning from the Spring Festival this year, the market began to rebound continuously. On February 25, the three major A-share stock indexes all rose by more than 5.5, and the trading volume of the two cities exceeded the trillion mark again after three years. That day, the family WeChat group, which had not discussed stocks for several years, suddenly became active. The tipping point of the topic is of course the A-share market. That night, the family stock trading group was established. A relative said that it seems that as long as you can make money, you will immediately attract a swarm of people.

In fact, our family is just a microcosm. The hustle and bustle in the world is all for benefit, and the hustle and bustle in the world is for benefit. The stock market, as a wealth field, is where the "profit" lies. Therefore, since the establishment of the A-share market, it has attracted countless investors. Public data shows that the number of investors holding A shares in the A-share market is close to 150 million. On the one hand, the market has such a large investment group. But on the other hand, it is also true that most participants in the stock market lose money. As the saying goes, one profit, two draws and seven losses are a true reflection of the A-share market. In this case, why do so many people rush into the stock market?

First of all, although it is "one profit, two draws and seven losses", there is still "one profit". This "one profit" and the generous returns behind it are the driving force for investors to enter the stock market.

Secondly, behavioral economics and finance has a very famous research result - overconfidence theory, which can answer this question very well. The core idea of ??this theory is that people are overconfident, especially overconfident in the accuracy of their own knowledge. People overestimate their ability to complete tasks and have unrealistic optimism about future events. And people expect good things to happen to them more often than to others.

Because of overconfidence, most drivers will feel that their driving skills are better than most people's. The same goes for investors entering the stock market. Everyone who enters the market believes that through their diligence, intelligence, good luck... they will definitely be able to get a share of this market.

What if I make two draws and seven losses? The Wang Ergou next door can make one million, why can’t I? I am the one inside.

Of course, only a few people can enter the inside. Therefore, institutions and analysts often say one thing: investment is risky, so you need to be cautious when entering the market. It's just like "Smoking is harmful to health" is printed on the packaging of each pack of cigarettes. You print yours and I smoke mine.

You tell me your risks, I will invest in my stock market.

Hello everyone, I have an investment perspective and am an old investor who has studied stock investment for more than ten years. Whether investors or non-investors, everyone knows that nine out of ten people who trade in stocks lose money. In other words, everyone knows that stock trading is very risky and the probability of loss is also very high. But why do so many people plunge into the stock market without hesitation even though they know the probability of losing money is high? As an old stock investor with more than ten years of experience, I think there are the following reasons.

One, "Food and clothing, thinking about lust". Stock trading is a popular investment method nowadays. From ancient bank financial management to current banks, securities, and stock investments, it is a process in which people pursue wealth maximization. Whether it is a bank, a bank, or stock trading, it is a way to make money with money. It is a shortcut for investors to get "get something for nothing" by only taking risks. The same principle applies to stock trading. As the saying goes, "having enough food and clothing and thinking about sexual desires", as people's lives get better and better, they will think of these shortcuts to obtain money. As the economy develops and people's living standards improve, a steady stream of new investors will join the wave of investment.

Second, the yearning for wealth. We all know that the economic base determines the superstructure, and the attraction of wealth to people is unimaginable. With people yearning and longing for wealth, the road to finding wealth is destined to be crowded. We often hear legends in the stock market, legends about stock gods, so-and-so made money by trading in stocks and bought a house, and so-and-so made money by trading in stocks and bought a car. Rumors like this are endless. After hearing it too many times, we want to try it ourselves, wondering if we can do the same. It’s so easy to make money. This is how people tend to remember the good and forget the bad, and will selectively forget those cases of stock trading losses. This is one of the reasons why so many people still speculate in stocks, knowing that they will lose more than they will win.

Third, the lack of investment channels. For most people, investment channels are relatively scarce. Places with high interest rates are either unsafe or have high thresholds. There are too many cases of absconding with money. Many people no longer believe in high interest rates. The returns in safe places are too low. , single deposit financial management can no longer meet people's needs for investment products. After thinking over and over again, only the stock market is relatively safe and regulated by the state, and if done well, it can realize the ideal of accumulating large wealth with small funds. There is no threshold limit here, and the principal is absolutely safe. For small and medium investors, Stocks are an excellent investment. It is not illegal, the principal is safe, and it can realize the dream of getting rich overnight. Naturally, many people will choose to invest in stocks.

I am an investor. After reading it, I followed and liked the stocks soaring. I also sent private messages to discuss individual stock analysis.

Stock, real estate, high-end art speculation. . . The mastermind of the bubble economy!

Some people take drugs, some engage in prostitution, and many seek death! Human desire itself is the embodiment of living!

Current statistics from the show show that the antiques industry supports more than 130 million people in China and more than 80 million professional tutors!

The economic history is multifaceted and there are many ways to achieve success! Of course, the stock survival rate is not very high!

Losing the house is an extreme psychological effect on the individual and has no essential relationship with the market economy!

Therefore, truly love life and family, and invest rationally in business! Failure is not terrible, the key is not to go to extremes!

Everyone has ideals. Improving one's own destiny and improving one's economic environment are people's normal psychology and a positive indicator of progress, which should be affirmed and encouraged. The stock market is another place full of hope and many success stories. It is true that many people have succeeded in this market.

Since the day the stock market was born, it has brought huge impetus to human society, especially economic development, including advances in science and technology that were unmatched by traditional economies in the past. Perhaps even more than the past 10 years.

However, the side effects of the stock market have also caused huge harm to the economy and investors. For some investors, it is the cost of their lives. Summarizing the lessons of history and warning ourselves not to make the same mistakes that others have made is the beginning of our journey into the sunshine.

1. Lessons

The most famous stock market crash in the world was the Dow Jones Index in the United States from September 1929 to 381. By March 1932, the Dow Jones Index fell to 41 points, a drop of 100%. of 89. This stock market crash has affected the U.S. economy for ten years, and has also affected Western countries such as Europe. During the period of extremely crazy rise, Joseph Kennedy, the father of US President John F. Kennedy, said: Even the shoe shiner is in there, I want to come out. Therefore, avoid the stock market crash. This in turn maintained the continuation of the Kennedy family wealth.

The opposite is that thousands of people in the United States have committed suicide by jumping from buildings. Including American investment guru Livermore, who made $100 million from short selling in 1929. After going bankrupt three times in a row in 1940, he chose to commit suicide with a pistol.

In March 1973, the Hang Seng Index in Hong Kong plummeted from 1,774 points to 41 points in December 1974, a 91% drop. It set a record for a stock market disaster in human society. The blow to Hong Kong's economy was huge. Thousands of people lost their jobs, went bankrupt, and incidents of people jumping off buildings were reported in the news from time to time.

The Chinese stock market went from over 6,000 points in August 2008 to over 1,700 points, and is still hovering around 3,300 points. There are also a series of changes such as the circuit breaker mechanism brought about by the stock market fluctuations in June 2015. There is also Liu Qiang, a legend in the Chinese futures industry. During this round of stock market crash, he was full of long index futures, which eventually led to bankruptcy, and finally chose to jump off the building.

We are not telling other people’s stories, nor are we laughing at other people’s mistakes. In fact, human weakness and greed exist in any era and at any time. It is an objective phenomenon. The key is how our descendants can learn and overcome the mistakes of others and avoid making the same mistakes. This is what makes us better than our predecessors and gives us hope for tomorrow.

2. Several principles in the stock market

1. Risk awareness. Cruel historical lessons and big data analysis are the best teaching materials and warnings. If you don’t have risk awareness, you may not be the next one to fall, but you. Don’t take any chances.

2. Investment is a window to participate in the economy and understand social development. Only with this kind of inner thought, it shows that the investor is a positive attitude towards life and an upward person.

3. Investment funds are controllable. It should be said that only 30% of your total funds, other than those necessary for normal life, should be used in the stock market. This is a safe practice. It is a state, a kind of protection, a responsibility to the family, a kind of leisure, and in the final analysis, it is a kind of wisdom and pattern.

4. Investment strategy. According to the principle of stability, it is neither the maximum benefit nor the maximum risk. It is also a reminder of the investment method in investment science. According to the market risk characteristics of the investment field, the method of dividing the funds into several parts is discussed. For example, in the Chinese stock market, there are many uncertain factors. It is best to divide the funds into 5 parts and set a decline limit. When the stocks you hold fall by 10%, you will replenish the same stocks. When the stocks rebound, buy the remaining stocks and gain profit. Sell ??the profitable part. In this way, investors will have more than enough profit.

In short, only investors who are based on correct science and learn from the lessons of failure in the stock market are the most comfortable people living in the stock market.

Gambling is rooted in genes and is brought in the blood. This is both a talent and a disaster. Men who have the opportunity to gamble like to gamble. The stock market is still somewhat gambling in nature, and it can bring out the most essential gambling side of human nature. It’s not that I have a bad gambling habit, but I don’t have the ability to exercise restraint. The house really doesn't matter when gambling comes up.

Moving bricks on the construction site costs 8,000 yuan a month.

A doctor in a maternity hospital earns RMB 20,000 a month in both wind and rain. We have had a very hard time making money. Anyone who has some spare money hopes to use it to make money, and getting started with the stock market is really simple, as long as you have money.

Many people around 40 years old have rich experience and have experienced right and wrong. In the end, I couldn't help but try my hand at investing. It wasn't that I couldn't make enough money in my original industry, but that it was hard to live a better life. Once you have accumulated wealth to a certain level, you cannot avoid the topic of investment. In fact, all I have accumulated is real estate, and when I want to move on, I can only sell the house.

Don’t educate, there are indeed great risks. In the bear market stage, it is common for people to go bankrupt or lose all their principal. During leverage financing, many people lose everything in an instant, so in When the stock market is at its most cruel, we hear all kinds of sad stories.

Since the risk of stock trading is so high, why do many people still enter the stock market? There are two main reasons here.

The first reason is material. Although there is a probability of 1 profit, 2 draws and 7 losses in the A-share market, there are also many legends of getting rich overnight. The inspirational story of 10,000 times in 8 years has inspired thousands of investors. From a practical point of view, although only a few people make money in A-shares, there are indeed many people who have achieved financial freedom and realized their wealth dreams through stock trading. It can be said objectively that if you have certain trading abilities and can grasp the market conditions, stock trading is indeed the most profitable business, and no other industry can compare with stock trading.

The second aspect is spiritual. The stock market has an outstanding magic power. Once you delve into it, you will be unable to stop. Many people say that all games are interesting, and winning or losing is a matter of a thought. In fact, many trading thinking in the A-share market is the same as gaming, except that it pays more attention to skills, methods, and mentality.

When you participate in trading in the stock market, you are playing games with the smartest people. The psychological satisfaction of defeating yourself and others cannot be given by any other industry. Many people even believe that: stock trading brings The pleasure of coming is better than anything else.

Some people think the stock market is a scourge, and some people both love and hate it. But the stock market is just an investment platform. As for whether it hurts you or makes you successful, It's not about your own control.