Two Reasons Not to be a Sheep

It is ok to get investment ideas from other investors if you also thoroughly investigate these stocks independently by scrutinising primary sources. It is tempting to skimp on this process after you have been spoon fed a seemingly compelling thesis. You may earnestly attempt to do the research without realising that you are merely going through the motions. If you don't do the work properly then you don't know what you own and if you don't know that then you are asking to have your money taken off you.

Perhaps an even more damaging effect of peeking at others' holdings is when you dismiss a share out of pride because you did not identify it yourself. You will deceive yourself into believing that there are robust evidence backed rationales why the stock is a bad bet. It is easy to come up with excuses and hard to recognise and admit when emotions are driving your choices.

I have tumbled into these pits on multiple occasions. Not any more.

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