1. Retail investors are in a weak position of information lag, cognitive lag, and decision-making lag. Coupled with operational errors, winning one, drawing two, and losing seven has become an iron law
2. Due to the lack of in-depth understanding of listed companies by individual investors and their inflexible grasp of the market, entering the market rashly will inevitably carry significant risks and losses
3. Lack of time to monitor the market, inability to select stocks, lack of expertise, and fluctuating market conditions make it difficult to grasp buying and selling points. As the saying goes, those who can buy are apprentices, and those who can sell are masters
4. The majority of retail investors choose to wait for the package to be released, rather than actively releasing it. Blindly waiting will only lead to more and more losses. If they are trapped by 10%, they need to increase by 11% to recoup their investment; Undercover 20%, needs to increase by 23% to recoup costs; Cover 30%, need to increase by 41% to recoup costs; A 40% duvet cover requires a 61% increase to recoup the cost.
In summary, the road to unlocking is long and arduous. Weigh your stocks and see how much the market needs to rise before you can unlock it.