Being a 'Trader' is not the best choice for stock investment, why?
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 Published On Jan 23, 2022

This year, the Indonesian stock market was affected by the COVID-19 pandemic in the US. In March alone, the Composite Stock Price Index (JCI) fell to its lowest level in the range of 3,900.
From this low position, investors' interest has increased, causing novice investors who previously didn't 'want' to know about stocks or other risky instruments. The position of the JCI was the lowest at that time, automatically stock prices in that period were too cheap, because the stock price itself had fallen due to the pandemic. This is used by investors to trade stocks 'while' cheap, including novice investors.
As many as 51% of investors in the world under the age of 34 have started trading stocks a lot since the pandemic hit the world.

However, what you need to watch out for, especially for novice investors, is that in day trading, you don't always get a positive return, especially during a pandemic. "Many novice investors do not know that daily trading does not always produce positive returns, one day there will be a time when many of them make cut losses, because they are impatient and want to quickly release their shares, because the stock itself continues to fluctuate" , says Erick Roberge, Founder of Beyond Your Hammock, Boston.

1. Ask yourself, why am I doing this

When it comes to making investments, whether through a financial advisor, an online trading platform, or even an app that lets you choose your own investments, always start by asking yourself why you're doing it. What are you investing for? Is it for long term financial security? Or do you trade just to fill your spare time?

2. Do Diversification

You want more security in investing? In addition to long-term trading, another thing that you should pay attention to is how is your investment management? Have you set up your investment portfolio in such a way Ultimately, you want to make sure that you have a good mix of investments in your portfolio. The bottom line is that you don't want all of your money to be invested in the same place.

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