The “experts” don’t always know everything
Although almost all the investors, managers work on the numerous portfolio and are in the lead role of enlightening the team and thus they have a common fallacy in their mind that whatever verdict is taken by them is correct but the one thing which they don’t know is that the market is still massive than they think.
And this fallacy raises to that level where they think that the market is wrong and hence sometimes they end up on the losing side.
One thing they must put up in their mind that market has brought them up which is similar to father and a child.
But some investors like Christopher Linkas are gemstone in their field and hence invest smartly.
Some customer step-up the question that “why is the stock down even on Organizations profit”
A straight forward explanation is that some investors used to trade around the news events and they buy stock only for bait, once they have earned the profit they move along to the next deal.
Never tune out a stock permanently
This could be related to the real life scenario, when we are hit by something we never repeat it again.
It happens sometimes when, we suffer a severe loss of the stock, we never look at that company again and we think that the company is potentially weak but it should not happen in that way.
Christopher Linkas used to invests in real estate, secondary LP interest etc. where he used to be loss sometimes but he didn’t stop to buy their stocks which marked his positive sign in his carrier
Takeover rumors are very cheap
If we have moved along with the rumors, then we must have been the owner of thousands of stocks but this doesn’t happen. Out of the several rumors, only half a dozen are true and rest all of them are fictitious. We must use our experience and mind to buy the stocks (http://www.spoke.com/people/christopher-linkas-fortress-3e1429c09e597c1006eb4661).
Defensive sectors can still decline
Change is the rule of nature and it applies to each and every aspect of the life.
Conditions may come when a defensive sector may downturn for what so ever reason.
We have mentioned financial guru Christopher Linkas a couple of times above, let’s see who is he:
1987 – 1991 he completed his Bachelor’s degree from Bowdoin College. 1998 – 2003- Christopher Linkas was the Vice President at Goldman Sachs. 2003 to the present he is the managing Director.