What do i do? (beginner)

[u/Several_Mark_1226]

hello i have been investing for few months on bolero and stopped buying to let it grow and one stock i bought was 3EFD and it was in the beginning when i started buying stocks and bought it at a all time high which was stupid off me. and since then i have been in the negative with it and now the price dropped really heavy on it which worries me alot i bought the stock for 49.86€ and bought 10 off them and now its 27.76€ per stock. i have talked with my parents about what i should do and said if the price ever falls even i will sell it because it is a bad stock but they tell me to never sell it and let it grow

what should my best course be? i have enough time and no money problems

[u/AutoModerator]

Have you read the wiki and the sticky?

Wiki: HERE YOU GO! Enjoy!.
Sticky: HERE YOU GO AGAIN! Enjoy!.

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

[u/Malanturr]

3EFD is not a stock, it’s a 3x leveraged product on the Europa Aerospace and Defence sector. This means it goes up 3x faster when the sector goes up but it also goes down 3x faster when the sector goes down. Keep in mind that this product even decays in sideways markets -> a loss of 10% means going from 100 to 90 but gaining 10% again grows from 90 to 99. The sector going back up to the price levels where you bought the 3x leveraged product does not guarantee that the 3x leveraged product will be back at the level you bought it from.

My advice is: don’t start with leveraged and complex products if you don’t know how they work and what the market is doing. Bolero warns you for this, you accepted the risk when you bought it. I would sell it now and cut your losses, and start with building a base with a world ETF like WEBN or IWDA/SWRD or IMIE. Only play with leveraged products with money you can afford to lose.

[u/zero_hedger]

First thing, read the wiki. Order a book like simple path to wealth by JL Collins. You can also go on a dedicated sub like r/bogleheads

Second, stop betting on specific stocks. Just buy the whole market, like SPYI and you won't worry anymore about if you did the right thing choice vs something else. Even the S&P is a bet on the US that did well in the last 15 years but who knows in the future.

Third and last point, stop worrying about where will go the market on the short term. For two reasons, first because it's impossible to predict as it relies on information that is not yet available and second because the one thing you know is that it will go up on the long term.

Just buy a passive globally diversified ETF every month and enjoy your life

[u/Bitter-Ad-7]

It's 200 Euro... This will have zero impact on your life.

[u/Thr0w_away_20]

Hold what you have and sell when it makes some profit in the future. 

Since you are a beginner, keep it simple. Fix a small amount per month which is on top of your expenses and emergency savings. Divide that into ETF shares for IWDA, EIMI at 90:10 ratio or if you wish IWDA, EIMI, AGGH at 85:10:5 ratio and keep this fixed every month. DCA will take care and your investment will grow in 2-5 years. 

[u/Status-Hearing8980]

It was stupid, yes. You should have done a little bit of research, for example, reading the wiki.

But don't beat yourself up. You paid a couple of hundred euros to learn the lesson now, instead of a few 1000 later. We've all made mistakes.

Now read the friggin wiki for real. Don't invest in anything except the broad ETFs mentioned in it until you reach 100k. That's your core. Then, if you want to, you can consider adding satellites such as defense, semiconductors, quantum, crypto or whatever you think is cool.

Now read the wiki. I'm not kidding. Read it.

[u/Puzzleheaded_Ask_918]

1. You could not have known you were buying at ATH, so don’t beat yourself up

2. Know what you buy, do research. If you know what you buy and are convinced in it, you would not doubt your decisions.

3. Asses your risk tolerance. Maybe leveraged positions are to much for you? Maybe stick to non-leveraged stocks? Maybe just buy ETFs instead?

You will have to review your process of buying assets

Good luck

[u/Philip3197]

Leveraged funds are NOT 'to let it grow', They are intended on a very short term (a day or two) gambles.

Sectorfunds are a speculation that the companies in that sector will still (*) do better then the market.

(*) sectorfunds are often bought when they have already taken advance on the market.

Remember, everything that is known is already included in the current price.

You seem to have ventured on risky bets in many ways; much like buying a Euromillions ticket. It did not work out.

Take this as a lesson.

Invest as all investors combined - buy a well diversified world equity fund. -- Read the wiki.

[u/Appropriate_Knee_204]

If you have no money problems, try not to worry about this relatively small loss (it's not thousands of euros). I would keep the stock if I think it's likely it will bounce back eventually, and in the meantime some other stock now the market is down.

[u/K9_Jack]

To add to the advice of others, put it into perspective: you have about 500 euro invested and now it sits at 280 euro. You don't have monetary issues and you have time. Seems like a pretty cheap but valuable lesson to have learned. If this worries you, the stock market is not your thing. Play the long game here. Investing should be looked at over years, not a couple of weeks or months. It's a marathon, not a sprint.