Derisking your investment

  • Just wondering if people on here have a plan for taking profits and drawing down their net deposits in order to derisk investments

    Eg. If you deposited £1000, and your portfolio is now worth £1500, at what point will you start withdrawing profits in order to reduce the amount of your own money at risk?

  • @playingcards1 When the my fear over takes my greed.

  • @Misto said in Derisking your investment:

    @playingcards1 When the my fear over takes my greed.

    Love it!! There is truth to it as well. From the start I’ve planned to de-risk, but I also know that when it comes to it I will probably be too greedy and continue to reinvest. I guess I will cash out if I need the cash for some unexpected expense

  • @playingcards1 If you are worried about losing the money you put in, you shouldn't have put that much in in my opinion.

  • @BillyNoMates There is a difference between being worried and planning a exit. So while I agree with you, I don't think that is what playingcards1 is asking.

    Plus I think there are lots of people that will have money they can lose and it wouldn't affect their life to much, it will still be a gut shot.

  • @BillyNoMates said in Derisking your investment:

    @playingcards1 If you are worried about losing the money you put in, you shouldn't have put that much in in my opinion.

    If you aren't worried about losing the money you put in, you should go get yersel checked out by a doctor in my opinion.

  • I'm also new to this and plan to be investing about £1000, with the plan of investing more in the future if I'm successful. The dilemma I'm having is how I split the money; Do I by smaller amounts of shares in players and have a larger number of options or do I split the money between only a few players?

    Then I have to decide do I prioritise looking at mostly top 200 players or do I try and find the cheaper gems and go for the more long-term hold strategy.

    There is definitely some difficult decision to make with this but I guess thats part of the fun. The large majority of people on here seem to be profitable and it seems like a great platform.

  • @BillyNoMates said in Derisking your investment:

    @playingcards1 If you are worried about losing the money you put in, you shouldn't have put that much in in my opinion.

    That’s not really the question though. I have portfolio that’s just over £9k with about £2k of my own money invested, and I’m completely relaxed with this level of risk. FI would have to completely bomb before I’m at risk of losing my investment.

    I’m really try to assess the point at which people plan to start withdrawing profit and derisking their initial investment. You need to be looking to withdraw some money one day; otherwise there’s literally no point to having your cash in here!

  • My long term plan is as follows
    I joined 2 months ago and in that time i have invested £5000 in total
    My portfolio is currently £7160

    My aim is to continue to grow the portfolio to £20k at which point i will take out the original £5k and then be left with £15k profit to continue on with risk free

  • @playingcards1 i will withdraw 30% when FI has approx. 5 million users..... the rest i will keep invested...

  • @NewUser159184

    Interesting; thanks. You’re basically looking to derisk at 4x investment. I’m roughly at that stage now and have started thinking about it myself - but as someone above says - I can still only see oppportunities with very little risk attached!

    I can’t decide if being derisked will make me trade more aggressively and positively, or whether I’ll become more complacent when it feels like I have less skin in the game.

    (Obviously well aware that money is money and it shouldn’t affect me like that, but I do think that being fully derisked will put traders in a different place psychologically).

  • @playingcards1 pretty simple solution mate, withdraw 2k and you ain't risking anything apart from FI's money 😁

  • @Misto Fairpoint.Maybe it just playingcards1 (and everyone else seems to) call it an investment, semantics i know but its gambling to me. So to answer his question, I'm only going to cash out if I'm probably down to half my deposits (taking into account the commision and spreads)

  • @playingcards1 If I was you it would depend on the dividends you receive, just reinvest those and withdraw the £2k. Then everything is profit, either withdraw dividends or reinvest them and withdraw when you need some capital

  • I'm just keeping an eye on the market. At the moment, it's working almost like a Ponzi scheme... they're advertising and attracting the many gamblers that football has. They are then putting more and more money in, increasing the prices of players. It's hard not to make a profit at the moment.

    However, prices will get so high that they're not worth buying based on the dividend payouts. Even Pogba, who is getting Media Buzz every other day is £14+ and the up to 8p media payouts, you need a lot of payouts to make it worthwhile.

    Prices will continue to rise and will exceed £20, but without an increase in dividends the market will stagnate and new players will dry up.

    For now, though, prices are only going to go up. I've only been in for 4 months or so and am 30% up. Long may it continue!

    FYI, the top 10 players were £75 when I started before the world cup. It's now £112.

  • Ive stopped investing in the top top players.for such minimal media payouts i gave up the ghost.i dont want to be putting in £1460 in pogba just to get £5 media payout. so ive started researching players outside the prem for trade possibilities and with the profits im buying and building up long term holds in players who could in time become the next £7-£10 players. used to be only interested in the dividends but the best mb are seriously priced.there is money to be made everywhere on this index. fair play to the big earners on here who got in really early with £1.25 messi or 80p ramos(remember those days?!) for example.they risked alot to enable this platform to become successful.i cant afford to buy in big on those players, but not going to bemoan the prices that much to be honest

  • Personally I think there is a myth around de-risking and there is defo no such thing as playing risk free

    The money you have in the index whether is 100% profit or not is still real money that you have. If it goes it's gone and you have lost money

    Makes it no easier whether you got your full deposit back or not only difference is you have not lost as much

  • Is there a way to see how much money you have deposited over the months other than looking at bank statements? I just put £10, £15 or £20 in every so often so don’t know how much of my value is deposit and how much is from reinvesting profit.

  • @HUFCPaul
    Go into Transaction summary on the menu

  • @NewUser159184 thanks. I’m on Iphone app which doesn’t seem to have that.

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