Have you attended seminars on trading or investing before and proceed to sign up for the course?
Well i had. When I just started out to learn how to invest, i attended a trading seminar on US stocks.I really can't remember the exact year or the course fees but I think i paid between US$2,400 to US$3,000. They assure you that investing (or trading) is a very simple process because they have this wonderful trading system. The system has 3 indicators, MACD, Stochastic and Moving Average.
When you see 3 green arrows, you buy. When you see 3 red arrows you sell.
Wow such a wonderful system!?! Why would they be selling it! if they are making money from this...well, that is because there are gullible people like me who then believed that money can be made so easily.
Usually the story line goes like this....
1. There is a free 3 hours limited time and limited space seminar to share with you how to become rich and you sign up for the "free" seminar.
2. At the seminar, a very charming and persuasive person appears. (let's use a "he" for simplicity). He will tell you his rags to riches story. Show you pictures of his nice house and flashy car. While we don't really know if the Ferrari belongs to him (or maybe it really does), the idea is this, he wants to sell you a dream. A dream where you don't have to work and can trade from anywhere in the world. You are travelling round the world living your dream.
3. He will then share with you a few secrets on how he managed to achieve this. After many trials and errors, he finally got it right. His wonderful black box trading system will show you exactly when you need to buy and when you need to sell and how he has made money from this black box. If you want to use his box, all you have to do is to sign up for his $3,888 course. But today is special because he is going to allow you to sign up at special price of $3,288. If you are a couple (husband and wife) doing this together, even better, $2,888 each. Basically, the idea is this... this is a time-pressing marketing technique for a limited period to help you make up your mind to give him the credit card details. He knows that once you walk out of the door, you won't sign for the seminar.
4. The more savy presenter will show you an 'audited trading statement' to prove to you that he is the 'real deal'. Some will ask the 'audience' to shout out their favourite stocks and he will then flash those stocks on the trading system to show you that it truly works and you imagine that you would have made a lot of money from your favorite stocks. At this stage, you will be fully convinced and will hand over your credit card details obediently. hahaha.
5. The less ethical ones will even ask you to buy monthly 'data' services through him so that it can become a recurring income for him.
Personally, i think most of them make more money from selling seminars than from trading itself. It is such a lucrative business. So be discerning if you really need to attend one. Don't be shy, go ahead and ask to verify his trading records or statements! Most of the concepts can be picked up from books be it value investing or trading methodology. In the end, i learned more from reading books and paying school fees to Mr. Market than from the course. hahaha... in any case, whether you like it or not, you are going to pay school fees to Mr. Market regardless of whether you have attended any trading or investing courses.
Many a times, you can see many 'testimonials' being flashed to show you how great the system or the seminar was. Well, it is quite easy to ask you friends to help you write one isn't it? After all, who in the right frame of mind will show bad testimonials and who can verify if those testimonials of turning $6,000 to $30,000 in 6 months is true?! If you want a "more objective" testimonials, the easier way i guess is to goggle for it. hahaha. I am sure there will be enough disgruntled people who have attended the courses.
Well, here you go. I have shared with you my experience attending such 'get rich quick' seminar. My take is this. Attend the free seminar if you must but be very discerning. Ask yourself or the presenter the following questions.
1. Do you want to learn a trader or to be an investor. (I have emphasized many times that the two concepts are very different). If you want to be an investor, attend a seminar that teaches you how to be a value investor. If you want to be a trader, attend a seminar that teach you how to trade using technical indicators and charts.
2. Avoid those that try to sell you a system. Go for genuine investors or traders who try to teach you how to fish rather than showing you the fish.
3. Ask to see the actual trading results or statements. If they can stand up to scrutiny, probably you can learn from the person. But do realize this, investing or trading is a very personal journey. There is no one size fits all. What he has or uses may be suitable for him but not for you yet because you have yet to reach his level.
4. Don't pay too much for such seminars. Many are in this 'teaching' profession and it is a lucrative business. You are just enriching them and the $3,888 you paid can actually pay you dividends for the next 30 years if you invest in the right company.
5. Find out what is being taught at the course. In addition investing or trading techniques, it is important they impart money management skills.
Anyway, these are my biased views on seminars and i may be wrong. The trouble with most people is that they don't bother to read or they want someone to explain to them. There are many good blogs or articles or books out there. Go read a book today. I have only 2 takeaways for you.
- Read and understand.
- Pay Mr. Market some fees and be enlightened.
Happy trading and investing.
the only Investing Seminars, I've attended and defintely worth attending is Dennis Ng's Stock Investing seminar, where you are thought about the investing clock, the 3rd eye known as BB (big brother) or IH (invisible hands), and how they manipulate the market, and "killing off" or sucking up the ignorant retail traders, and investors.
ReplyDeleteHe don't teach you what can be easily found in books and read up, although FA and TA are taught as a basis to understand what is needed in investment. All examples are practical and real life, and continued in his forum.
He teaches you how to fish, and never gives you the fish. He challenge or "forces" you to learn by analysing the company, why is it a buy, sell, or hold, rather give you the answers.
He wants his student to be confident and able to fish for themselves, a real genuine teacher.
He even have quarterly seminars held at venues all fully paid and sponsored by himself and corporates. This is to give updates, and information about economy, property, the market etc.
His courses do not induce nor have any upsell, or needed to buy anything else.
Unfortunately, his kind but defective heart has taken his life away, but his graduates and partners are continuing his mission of helping others achieve financial freedom through knowledge and sharing.
Well, I have never attended his seminar nor meet him. Seems like you are a happy student and have learned some invaluable skills. Hope you succeed in your pursuit. :)
ReplyDeleteAt least, I'm still on the journey, and definitely still practising it. :D
ReplyDeletethe cost was also reasonable at $yyy only, and many true and sincere graduates who are continuing to contribute.
Too Many so called value investing seminars, or trading seminars are charging $XXXX amount but no value, or little value in them.
they also need some softwares, be dependent on the fish, in order to succeed.