Wednesday, October 6, 2021

Lesson learnt on paper loss SGD100k++ in US stock market

This should be the most painful post I ever blog about since I first started blogging in 2016.

I hope I will never had to blog any similar post ever again. 

Sometime in July 2021, with the objective of able to FIRE earlier, I had decided to shift from SGX to US stock market (Read: Sustainable to become full time stock trader??).

I believe readers like yourself had heard / read the following:

"STI = Super Terrible Index"

"It had never reach the record high set since 2007...........

S&P500 chart

"Many multi-bagger stocks in US stock market"

"I just sold a 2X / 3X / 4X / 5X / 10X bagger in US stock market"

Given last year when stock market finally corrected/crash, I managed to hit a new portfolio milestone of $200k in Apr 2020 and $300k in Nov 2020 (Read: New milestone - $300,000 portfolio).

Now post market crash, I am paper loss SGD100k++

It is as though "A" student failed his school module which doesn't require any written paper exam 
(Fun Fact: Yes, I failed my 1 and only uni module which don't have any written paper exam)


1) I am a fish in a pond (STI) vs fish in open sea (US Market)

Underestimated the "current" which cause the price range volatility 

2) Jump straight into open sea without doing warmup

I let my guard down.
I thought I am a good swimmer (started my investment journey since 2013).
But swimming in a pond vs swimming in open sea is very difference.

The initial "swim" portion (nearer to the shore) was great.
I profit 21.6% in 12 days (Read: SOLD: Crowdstrike (My maiden USA stock)

I started selling my SGX stocks to lock in profit so that I can channel the money into US stock market.
(Read: SOLD: Frasers Centrepoint Trust)

By July 2021, I only left with Ascendas REIT and HongKongLand in my SGX portfolio in a short 2 months span (Read: Summary of my portfolio - Jul 2021)

3) Investor mode -> Gambling mode

I used to write reasons for each buy and sell BUT I totally stop doing so since Jul 2021. 

Coincidentally, my first buy without any writing reason is Tiger Brokers on 2 Jul, which is the start of my huge paper loss.

My Gambling mindset "All I was looking for is just able to earn USD200 / day so that in a single month, I will have USD4000 / ~ SGD5000+, enough to achieve FIRE." was captured in US stock market Trading update for July post.

My plan was to buy sell any shares and lock in profit as long as I earn USD200 / day using capital of USD81k. Sounds easy right as I just need the stock to raise 0.25% will do. 

Sounds similar going into casino and place bet on "Big" / "Small"

I clearly found the answer which I asked in Jul 2021 Sustainable to become full time stock trader?? post.

I believe all my readers are wise man :) 

Related post:

1) 34 financial tips for my 34th Birthday

2) Sustainable to become full time stock trader??

3) New milestone - $300,000 portfolio


  1. Thanks for your reminder on the dangers of the stock market. Consider going back to "investor mode". All the best!

    1. Yes, definiately going back "investor mode", else my bank account will be empty very soon. LOL

  2. Most people only gloat about their multi-baggers or post about their winnings. Hardly about their loss. It is a tough pill to swallow. I am guilty of that too.

    I share a similar story as I made some tidy earnings in STI last year during the pandemic. I was then 'lured' into US market from all the news and also the ease of trading using Tiger. The US market is not for the faint hearted. I kept my SG stocks as I didn't have the balls to all-in into US stocks. Made some money in US stocks in the beginning but like you, I am sitting on heavy paper loss now. Lucky I still have my SG earnings to tide me over.

    I guess we all had a rude awakening that investing/trading is easy in US stocks. To the moon they say. I am now brought down to earth and relooking into investing smarter for the long term. Maybe a more acceptable risk vs return appetite.

    Anyway, a very good luck to you and me on our investing journey.

    1. Yes, we both need alot of good luck. It is always cheaper to learn our lesson in the earlier stage compare to later stage.

  3. now is $7 have you cut loss? can post if u cut loss, let us share your emotions.