“Just Buy Low and Sell High”

On our recent podcast, Jason Heath shares how an investing lesson for his son backfired big time. But don’t be fooled, “buy low, sell high” sounds much easier than it is.

It’s something I’ve struggled a little bit with even one of my kids has been really interested in investing, um, and has talked to me about, you know, buying and, and selling Bitcoin and knowing when the right time is to get in and get out. And for his birthday a couple years ago, I took a hundred bucks.

I put $25 into Bitcoin, $25 into uh Ethereum, $25 into Apple and another $25 into Tesla just to sort of teach him about investing. Dave, it’s significantly outperformed my own portfolio. I’ve at least managed. He’s, he is said, let’s, you know it’s time to sell, time to buy, and I’ve said, no, you’re gonna hold, you’re gonna watch, you’re gonna learn.

And it’s blown the socks off my own investments. So.

Yeah, no, you did a very good job there. You’re trying to teach him that, how dangerous all that stuff is, and of course, it’s done extremely well. It’s backfired to the nth degree. If he does figure out how to figure out exactly when to buy and sell Bitcoin, can you have him call me, give him my

only it were that easy. I mean, it sounds easy, right? And I think as a, as a lay person, when you hear, you know, you, you buy low and you sell high and just look for signs and it, it sounds logical, right? But as you start to learn more, but investing, you realize, oh, it’s not that easy even for the professionals, right?

No, an investor psychology works against us to the nth degree. I mean, it’s so easy to get excited as things are roaring along, so hard to get out when you’re making money, and things are doing very, very well and so difficult to get in when fear is overriding. And everything else, so no, I, I couldn’t agree more.