If you get lucky, you might happen to invest in a stock that gains 10x in the past 10 years. However, how many stocks have you actually held for 10 years? For myself, I’ve held perhaps 2 or 3 years at most so now I am shifting gears to invest for longer term and hopefully even more gains.
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Description below this is iris by the way she really really likes me ah go sit that’s it so i live pretty low-key i don’t spend a lot of money myself you could say that on an ongoing basis i spend about fifteen hundred dollars every month so this works out to be about fifty dollars every single day this includes health insurance property tax hoa all the utilities
All the food that i eat so basically everything if i don’t do excessive amounts of travel or anything or i don’t buy a whole bunch of electronics those things are not included if i buy a drone like i just did i bought a fpv drone it’s gonna cost me about about thirteen hundred dollars or so so these kind of add on to my total cost you’re looking at probably another
Five to ten thousand dollars a year so it’s eighteen 000 a year plus another 10k or so so this gives you an idea of my burn rate which is incredibly low but then i still have a huge cash of investable assets i’ve been thinking of it in this really weird way i barely need any money to spend it would still be nice if i earn maybe like 100k per year every single
Year for the next 10 years or so so where do i do this maybe i can put 100k of some kind of investment that would 10x from here on out so 10x of 100k is a million dollars right so where do you do something like this you can invest you know long term dollar cost average put money into s p 500 don’t ever try to time the market and you might get probably like 10
Compounded every single year but my thinking here is if you look back at some of the stocks some of the fang stock maybe tesla or whatnot if you look back 10 years which is a significant amount of time the big name stocks they definitely did 10x some did even 15x not so good a stock maybe did 5x but even stocks that didn’t do so well they increased fivefold
So i understand that it’s really hard to pick a stock that would 10x and i’m just probably cherry picking here because if i go oh yeah look at amazon look at google look at tesla you know those are the ones kind of like in hindsight you know did very well but if you’re thinking about in like a really long term this 10-year term if you have this frame of mind
Where you’re gonna invest for that long i personally feel like the risk goes down dramatically versus if you’re trying to invest for the very short term for like a month or two you never know where the stock is gonna go i have historically tended in the past to try to invest for one to two years or so so i put my money in it went up two threefold you know like
Tesla and then i’m like okay you know this is good enough i’m gonna sell so i think me being in this semi-retired stay not needing a lot of money um and also have enough to invest so that i can go hey you know if i invest it can fully pay for my living costs going into the future and then some then you think of investing in a slightly different way let me take
For example what happened here with dogecoin check out my position over here i invested i don’t know so far in there it’s about 65 000 or so some people might say i lost a lot of money here uh because it did go up to 500 600 000 but right now i am still at a gain of 151 000 on a 65 000 investment so this is plus 232 percent just within the last two months or so
I’m sitting here really pretty it’s like oh my gosh i i earned enough just you know just a few months of the year for an entire year of what i kind of want to earn if my net worth has increased by 100k i’m i would be happy that is probably part of the reason why i haven’t been making as many videos i just didn’t want to grind as hard i’ve been living my life
A little bit more you know going camping doing stuff and let me skip over all that personal stuff right so dogecoin is one of the things i hold and i’m going to talk about a few more stock positions that i hold so let me bring this up over here which is in my retirement account as you can see i hold coinbase after it kind of dropped down a little bit i bought
Into it my current position right now is up about four percent one thousand eight hundred dollars it fluctuates you know like one time i saw it at zero percent you know so this is i feel like a really medium term i i wouldn’t think that i’m gonna hold on to coinbase for like 10 years but um i’m trying to think of it uh all these investment this way it’s like okay
What can i buy i’m gonna buy a hundred k worth of this and i’m gonna have a really long time of horizon thinking okay i want to make 10x on this this is a lofty goal because in 10 years ah right now i am about what 40 years old so in 10 years i’m going to be 50 years old and if this materializes which i think it has a really good chance of doing especially when
You’re looking at a long term goal here stocks are very very volatile short term but long term somehow i feel like the risk factor drops dramatically i’m going to put 100k in maybe it’s going to turn to a million dollars i’m going to you know it’s going to be making a hundred thousand dollars every single year so basically i don’t have to work i can just sit
Back and feel like hey i’m still making six figures without doing anything only invested in something now if you only have a hundred thousand dollars you probably don’t want to put all your eggs in one basket you don’t want to put it all in tesla put it all in coinbase or whatnot so i’m doing this multiple times to sort of reduce my risk so if you do it 10 times
Right so you put in a million dollars you cut it into 10 pieces and a hundred thousand dollars into each one and let’s say nine of them goes to zero which is i think it’s very very unlikely that it goes to zero but one of them goes to uh 10x then you essentially broke even but i don’t think it’s like this my view on this is if you are sort of wise you know don’t
Buy any kind of you know really really risky penny stock or anything buy some blue chip stock that are you know relatively mid to large cap type of companies and you know in 10 years from now maybe it’s gonna double you know at worst case i feel like it’s gonna double still or like 5x right so for the really good stuff steve job type of company like apple or
Something you’re going to look to like about 10x game 15x game 20x gain even so these are the companies i’m looking at and i think coinbase realistically i think it’s going to do like 5x okay within 10 years i don’t think it’s a 10x company but you know it’s really hard to find a company that will do 10x so my next investment is tesla so i bought 200 shares of
This so let’s ignore what i bought before i made some money on tesla uh 20k in 80k also i made 60k so now i’m back i still think they have a lot of room to run especially with the eevee ramp up they’re going to sell more and more blah blah blah you might say that their share price is incredibly high for a car company but i you gotta look at tesla as a technology
Company so i bought in at around 600 200 shares of this total input cost is about 120k i bought this about about a month or two ago and i’ve so far made about um twelve thousand dollars so this is a unrealized gain but a pretty good game so let me jump over to the next thing that i bought this is not in my retirement account sometimes when i buy stuff in my
Retirement account uh it would be more short-term stuff because then i don’t have to pay any capital gains so brk is in actually interactive broker so i talked about this brokerage site a long time ago and if you’re interested in signing up for this i do have a referral link once you sign up for this and i believe you deposit 100k or more then you’re gonna get
Credited within about one or two months or so um ibr k shares of a thousand dollars so you’re gonna get one percent just add it in and you can see here i hold 815 dollars of ibrk and also close to 100k of berkshire hathaway b shares which is a lot cheaper than their age shares these shares are actually 289 or so so i’m actually at a unrealized loss of 4 000 or
So the 1 000 of ib kr shares interactive broker shares used to be a thousand dollars i probably got awarded the shares at a peak so if you sign up now you’re still going to get a thousand dollars worth of ibkr shares and it probably would be more valuable going forward if they kind of you know come back up in price of course i don’t know if it’s going to or not
I missed out on the rebound of the technology shares right after the covid scare but um i’m not too sad about it because my overall net worth is up significantly thanks to dogecoin thanks to a little bit from tesla i just look at the overall network sometimes i have wins sometimes i have losses but as long as my net worth is kind of trickling up a little bit you
Know even if it’s 100k a year which is significant because a lot of people they make 100k they spend you know even if they’re really good savers they might you know save half of it right your net worth is not going to jump up by 100k every single year so for me if it goes up by that much every single year i am in the happy spot so when you think of it long term
You might invest in a different style so if it drops 20 30 you’re gonna go ah you know i’m looking at it long term it probably will rebound come back up and then come back up with a vengeance so thanks for watching this video don’t forget to check out my referral link for weeble down in the video description below don’t forget to give me a like and subscribe for
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Transcribed from video
How I Plan to Make 10x Gains on Stocks By BeatTheBush