When does an IPO come?

CNNMoney: What happens when an investor buys a stock and decides to sell a few months later? 

Investor: “I don’t know what the company is worth”What happens next: A sale. 

Investment bank: “It will be very difficult to recoup the investment.”

The analyst then says, “So you should sell it. 

The price will have fallen by a significant amount.”

Investor’s response: “Oh, well, I’m not going to be buying a lot of stock right now.” 

He is in the market for some investment funds and thinks he has a chance at getting them. 

He thinks, “What I would really like to do is sell a couple of stocks. 

I’m not sure I’ll be able to get them.”

Investment firm: “We don’t have anything on the market right now that would justify buying it.” 

Investors reaction: “Wow, what a mistake!” 

Investing adviser: “Don’t worry, we’ll take care of it.”

Investors’ response: “What are you talking about?

We’ll sell a stock, it’ll be good. 

We’ll be in good shape.”

Investing advisor: “Great, good.

Just remember that if you sell, you’ll have to pay for it out of your own pocket.” 

You are now in the “real world” and are buying into an investment fund.

Investor says, “I want to sell the stocks and get a bigger return than the previous investors. 

But I don’t think I’ll ever get a decent return.”

Investments manager: “Well, that’s what we’ve been talking about. 

So don’t worry about it.”

Now, the analyst is talking about how he can get a better return. 

“You have to sell your stocks and the money will come from your own pockets.”

Investigator: What do you think? 

The investment manager says, I want to buy some other investment funds.

“Investigator: So you do? 


Now you have to take out some more loans, and you need to buy shares of the funds you have bought. 

This is what I call “buy and hold.” 

What I call a “hold-and-sell” is when you have a small amount of money that you want to hold but you are selling that amount of the fund and the stock is down. 

In this case, the investor has the money, but he can’t get it back because he is not holding it.

You’ll have paid for the shares out of the pocket, so that’s it.””


You’ll have paid for the shares out of the pocket, so that’s it.”

So you have sold your shares, but you haven’t gotten the money back from the funds. 

If the fund goes up, then you have paid the money out of pocket, but now you are not getting any money back.

Investigators response:  “Okay, well then, you’re out of luck. 

Just buy the funds again.” 

This investor has bought a large amount of stock and now he is selling it because he wants to take advantage of the big rise in the stock price. 

What he is doing is he is buying a fund and buying some shares, and then selling them and then buying some more shares. 

Then he buys a couple more funds and so on. 

All of a sudden he is in a situation where he is losing money, and he’s still holding his stock and is buying the stocks.

Investors response:   “So I’m just not going buy those stocks? 

You’re not going sell them?”

Investment advisor:  Yes, I am. 

It’s a very simple investment.

“Invester’s response. 

(It is a very simplistic investment, and it is the only investment strategy that is correct for investors in this situation.)

Investment manager: You should just hold on to your stock.”

Investin’s response.: “Well, I can’t do that. 

How do I do that? 

I have to buy all the stock I want. 

Can I do it? 


So he has bought all the shares he wants. 

After he has purchased the shares from his investment manager, he has made a big buy. 

His next steps are: He sells his shares, buys another fund, and so forth. 

There is a big jump in the price of the stock, and now his net worth is going up. 

And he is making a lot more money from the stock. 

As you can see, this investor has made big gains. 

Even though his net-worth is going down, he is still making a large gain. 

When a stock goes up and you sell your stock, you lose money. 

Your net worth goes down, and the net-value of the stocks that you own is