Welcome To The Long Wealth Newsletter (August 20th) (est. 4 min read)

In today’s newsletter we will go over:

• The power of dollar cost averaging

• 7 Investing Mistakes That Will Mess Up Your Portfolio

• And much, much, more..

Actionable Tip Of The Day

Don’t ever fully allocate your position when it comes to investing.

Always remember to dollar cost average.

This allows me to avoid the risk of investing all my money at a market peak.

While also allowing me to averages out costs. This means buying share prices high and at the low price.

Here’s an example:

Let’s say I decided to to invest $100 every day for a week in Long Wealth Capital.

Monday:

• Stock price: $20

• I buy: 5 shares ($100 ÷ $20)

Tuesday:

• Stock price drops to $18

• I buy: 5.56 shares ($100 ÷ $18)

Wednesday:

• Stock price rises to $22

• I buy: 4.55 shares ($100 ÷ $22)

Thursday:

• Stock price drops to $19

• I buy: 5.26 shares ($100 ÷ $19)

Friday:

• Stock price rises to $21

• I buy: 4.76 shares ($100 ÷ $21)

Results:

• Total invested: $500 ($100 x 5 days)

• Total shares owned: 25.13 shares

• Average price paid per share: $19.90 ($500 ÷ 25.13 shares)

• Final stock price: $21

• Current value of shares: $527.73 (25.13 shares x $21)

This allows me to achieve a lower average cost per share than the final price, even with daily price fluctuations.

Overall, lowering my risk and giving me more gain on the upside.

Top Links Of The Week

• Get Insights From Experienced Investors In Our Free Community (link)

• The Best Investing Strategy Of 2024 (link)

• Join The Waitlist To Find Undervalued Stocks With This Screening Tool (link)

• You Need This Free Charting Tool If You Want To Perfect Your Buy & Sell Decisions (link)

Deep Dive

If I could back and tell my younger self to not make these 7 mistakes, I would do it in a heartbeat.

Here are 7 mistakes you need to avoid if you want to grow your portfolio.

1. Leverage trading

2. Letting my emotions control my decisions

3. Lack of patience

4. Not keeping a trading journal

5. Trying to time the market

If you want to learn what the next 2 mistakes are and the most crucial.

I shot a short 10 minute video where you can find out here.

Darold Trinh

Long Wealth Newsletter

How I Can Help

• Subscribe To My Youtube: I have over 200 hours of free video training on my Youtube (link)

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