Price, Value, and Order Books
Knowing the difference can save your portfolio
Welcome back Anon.
Owning assets is the only way to get out of the rat race - whether it is stocks, crypto, real estate, businesses, etc…often a nice diversified mix of many of the above. Nearly all people with some net worth will own equities (and/or crypto) which are traded on fairly liquid secondary markets.
These are the assets that will hopefully help bring you to financial freedom. They are of extreme importance.
And despite that, the number of people who have a complete misunderstanding of how these work is immense.
Even some of the people who can speak intelligently and clearly on stocks and markets seem to have a major blindspot a lot of the time.
And that blindspot is costing everyone money.
Therefore, in today’s post we will go over value vs price and get into what really is driving the prices of stocks. Incorporating this thinking will help you when it comes to your assets so you don’t make bad decisions as often.