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I no longer do any of the things I was talking about. Plenty of people make good money with individual stocks but it is hard work to do it. The tax implications led me to hold on to winners in 2000 that I should of sold. Wideopenspaces most of the terms are stock ticker symbols. I think index investing is a get rich slowly technique and will work well for most people posting here.
Agree, and too much risk. A buyout, fraud, takeover, merger of competition, anything whatsoever can happen to a single stock. If one feels inclined to a certain stock, there is always a sector or very specific etf to gain exposure while diversifying that single stock risk.
Recognizing the above, learning about indexing etc...and admitting I didnt even have the ability to hold onto great buys/picks anyway, I just moved to indexing which is much better for me. I still mess with it too much and cut off some winnings but I get better all the time.
Options are unnecessary and dangerous. Theyre dangerous given they are complicated and highly leveraged. Most people are going to have extreme difficulty just understanding the basics (I gave up a couple times because it was boringly dense to learn about), let alone know where the real risk lies and how to set yourself up to avoid those things. They can be great in vanilla situations like hatton was using, or to get slight leverage with lower costs and risks (not zero), or you really want to express an opinion like shorting a stock but dont want unlimited risk or margin costs.
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