Today we're bringing out our regular Quora Question of the Month, which takes a look at a question that is getting a lot of attention on Quora.
We've likely all got a story of risk that we felt certain would pay off. Remember that time you went to the casino and put all of your money on black and it ended up being red? (hopefully this is a fictional story for us all). There's a few financial risks that we've taken and can share here at Money Glee with the view to help you avoid some of the traps that you may encounter out there.
Our #1 financial risk that did not pay off
This is back in 2012, when the person was fresh out of university and was curious, thirsty for financial knowledge on investments and how to "hack" the financial system. Not much has changed really although hopefully we're much wiser. Although let's break it down for you:
What - Forex investing course signed up for and involved "quick profits"
How much - The course cost 5k and thankfully there was no real Foreign Exchange (FX) investments made
Why - After attending a seminar, the offer was attractive and there was persuasive sales and marketing tactics used
What happened next - After signing on the dotted line and putting my hard earned cash into the program and course, it was then time to watch the study at home course and register for the weekend training session in a few weeks. While there was a feeling of rush and excitement at the same time, it would be recommended to spend 48 - 72 hours to consider the decision and the commitment it will involve. After watching the study DVD's excitement was at fever pitch and we we're keen to start getting involved in the FX market. Hitting up the weekend was great meeting motivated people ready to make their millions in months using the bullet-proof technology we'd been shown. There were additional up-sells to short-cut the process even further although we were confident we had enough information ready to rake in the dollars.
After the weekend we went home and we're ready to start on the paper (fake) trading account and it's around this time where it was realised how challenging and involved the FX market is. While it was pitched that you could do this with 30 mins at the start and beginning of the day, in reality understanding the FX market can take months and even years. Ultimately after not being able to successfully make consistent profit making trades after a month of 30 minutes a day it was time to concede that perhaps the effort involved was considerably more. Nevertheless while this was a lesson learned it wasn't a failure and has spurred us on to bigger and better things.
It is not that you can't make money in FX or any other type of investment, you certainly can. The clear lesson here is be clear on the time investment and risks involved. While risk itself is not a bad thing, initially it was not clear for us the risk involved. We hold no bad feelings toward the provider either, it is vital to make sure you're asking questions and doing your due dilligence
What is the biggest financial risk you have taken that did not pay off?
Did this help you? If so, please share!
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