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Retirement Discussions / FIRE Wannabees
|Subject: Re: How much is enough?||Date: 11/17/2003 1:18 PM|
|Author: GoodHindSite||Number: 1344 of 5084|
>>Not sure what you mean about "multiples" vs. "percentages." Aren't those just two ways of saying the same thing?<<
I guess, but not really. My typical standard is I look for stocks that can reasonably appreciate 5 - 10 times over 2 or 3 years, with a reasonable amount of safety. If the safety characteristics are exceptional, I will buy stocks with only potential of a double or triple. But if the appreciation potential is over 20 times, I'm less apt to consider safety (although I think through likely scenarios to limit risk). I would expect to easily achieve 50% annual returns until I get to 10 mill - then things will get tougher. I'm sure you think I'm delusional now. There are a number of people who do similar things as I do, but the last thing any individual with a great strategy would do is publicize their strategy and results widely. There's just no point.
>>Since I have only $100K, I'm not willing to risk it all. <<
When you use the word "risk", that makes me believe you view stocks as a gamble much the way you would view a craps table. With knowledge about what you are doing and a good strategy, you could view very carefully selected stocks as wealth creators. Of course, my strategy has been developed by myself and I'm often going very much against the crowd. Most people can't do that, but some very unusual people can.
My interest in saying all this is to see if there are other imaginative people on this board who can come up with alternate strategies to the one I have to create wealth (as I like to be diversified). But it doesn't sound like that's going to happen on this board. Oh well. :)
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