A strong stomach and a strong mindset are what separates good investors from weak ones. You should only use the money that you can afford to lose to invest in this market. Never borrow to buy shares, instead use a percentage of your own hard-earned money to invest. Some investors will borrow to invest, for me, that is too risky. How will you react if for example, you invest 1000 dollars and within 4 months, your shares are worth only 600, what will you do? Many investors will lose heart, and cut their losses and run, but my Dad would stay and perhaps buy more to average down his shareholding. (Lesson No 1 – It is best to trade with money you can afford to lose!)
