18. Stock (Mis)management
Some people choose to invest their hard-earned savings into stable long-term investment portfolios. Like Redditor /u/Chow9, others decide to invest an entire year’s worth of savings into one stock. They shared their tragic story in /r/financialindependence, saying, “I bought oil stocks with all my money that I saved during [my] first year of work after college. The market collapsed immediately in [the] following one week. Lost about 22K hard-earned money. Stayed away from [the] stock market after that.” The stock market teaches many people a harsh lesson. However, that one had to sting at such a young age particularly.
Other Redditors commiserated with /u/Chow9, with one saying, “I thought this would be one of the top ones. I lost 4k by not diversifying and not keeping my cool when a stock dropped.” Others had less disastrous stock experiences, with one Redditor sharing, “Gambled in the stock market instead of investing in index funds. Kind of no regrets taught me more about stocks and weren’t that much money in the long run.” Thankfully, at least one Redditor chimed in with valuable stock advice, helpfully stating, “Always a bad idea to not diversify your holdings, that way you can wait it a depression in the market.”