Best & Worst Investments šŸ’ø

Definitely ageee. With high risk comes potential high return.

One of my best investments pretty much lost all its value. Good kick in the face but best way to learn.

Expect a good portion of crowdfunding companies to go under or be lucky to get your money back but one or two big wins hopefullyā€¦

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Thereā€™s an interesting bunfight going on about the terms of Plumā€™s previous convertible debt round now that their current round is triggering the equity conversion Plum | EIS Crowdfunding Investment | Seedrs (the ā€œConversion price / follow-on pricingā€ thread and you probably need to be logged in to Seedrs to read it). Several earlier investors deeply unhappy and saying theyā€™ll not invest again in Plum or other crowdfunding opportunities again.

My takeaway is: early stage cos are high risk, obviously. And some investment mechanisms - like convertible debt - are harder for the private investor to understand. So you have to invest accordingly.

Tandem: yeah. Missed out on Monzo, got some Tandem instead and, oh. Iā€™m not sure if I can steel myself enough to write about my worst investment though.

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I know Iā€™m having a busy day at work, but that discussion is making my head spin a littleā€¦

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Yeah, me too. Seedrs put out a statement trying to put the issue to bed https://assets.seedrs.com/documents/PlumConvertibleFAQs.pdf (havenā€™t read it yet).

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Yes - that is my best investment too so far assuming some opportunity to cash out at the current valuation in the future - invested in all rounds from EFP2 to current. If Iā€™d have had more opportunity to take money out then I probably would have done so kind of glad that the cash out opportunities have been so restricted! Also blame the success of BD for my addiction to equity crowdfunding which has included some highlights of Monzo, Revolut & Freetrade but also Vulpine which was a complete crash and burn!

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5 posts were split to a new topic: BABB on CrowdCube

Based on current share price my best crowdfunded investment so far was one that didnā€™t even hit itā€™s target on crowdcube. I bought in to Solar 350 directly after they pulled the campaign. share price then was Ā£2.50. Current share price Ā£24 so itā€™s almost a 10 bagger (or even better if you take into account I claimed 50% SEIS)
maybe freetrade can beat that, looking good so far since I got in at round 2

Only crowdfunded investment Iā€™ve done that has actually exited was e car club, I would have held longer if I had the choice but I did triple my money.

worst crowdfunded, I donā€™t know yet :slight_smile:

worst overall, probably playing with leveraged ETFs a few years back. I didnā€™t fully understand them at the time.

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I guess the ā€œFintech Crowdequityā€ thread is contained in this one, so: Dabbl says theyā€™re about to raise on Seedrs http://dabbl.seedrs.com/

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Good Investments

  • Easyjet :star_struck: - Invested as I regularly fly with them (cheap with lots of destinations). Topped up several times after brexit, making insane gains :money_mouth_face:
  • Hotel Chocolat :heart_eyes: - Who can say no to high quality chocolate?

Terrible Investments

  • Ultimate Products :scream: - Bought right after the 1st profit warning that reduced the share price by over 60%. Thought it was a good opportunity to make quick bucks (until the 2nd profit warning that further decreased the SP and my investment by >40%)
  • WPP :triumph: - Bought as I wanted a safe, stable company with a decent dividend yield. Not so stable after allā€¦
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I feel yaā€¦

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Best:

  • Nike. I bought when the stock was around $50 in October, and made 40% since.

Worst:

  • A random crypto coin. Iā€™ve bought for the impressive amount of Ā£50 following the advice of a friend. This is the sin of ā€˜following othersā€™ from the post. Iā€™ve wanted to learn about the various cryptos outside the mainstream, so not a total waste. I find I learn best when I have at least a bit of skin in the game.
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Donā€™t hold back, I know youā€™ve got more to share :wink:

What is the Crypto darling valued at now?

I doā€¦ next time! :blush:

I donā€™t follow that particular one anymore - but in my view, most meaningful cryptos broadly follow the trend Bitcoin has. So probably :arrow_down:. If anyone has better data though, do chime in.

Best.
Ethereum, Netflix, Vanguard Lifestrategy 60 (all +40-50%). With eth and nflx I learned that the market is essentially random from my perspective. Vanguard gave me the habit of investing regularly and thinking long-term. I guess also a critical illness policy, taken out in my 20s - at the time I thought ā€œWell, Iā€™m young and immortal but ok why notā€ - which gave a later bad event a silver lining.

Best. And Worst.
1997: I worked at Football365. 18 months later, the company had IPOed and the gain was, er, life-changingly big. Like many others working at dotcoms back then I felt like a master of the universe. And then the stock market fell over horribly in March 2000. I ended up with about a 100% gain, but the drop in value from what it had been made it feel like the worst of losses. But I learned so much working there and made a career, so from the distance of 2018 itā€™s a win.

Worst.
2008: After my co had a good year I invested - I will weep if I say how much, so letā€™s just say ā€œa large sumā€ - in a property bridging loan fund a banking person said was safe and high performing. It did very well for several months until, suddenly, it didnā€™t and collapsed. I lost a lot of money, and learned that if the amounts are big I should invest only in things I understood, that I needed to understand risk better. These days I think about what would ā€œminimise my future regretā€ in future investments.

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Amen to that! Itā€™s a hard thing to remember when an opportunity looks big, but itā€™s superb advice.

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Hereā€™s one.

I worked in video games in the early 2000s. Weā€™d just finished making a PlayStation game for Disney in late 2001 and the team all got a bonus of about Ā£500 each. I was young, lacking forward planning and a super technophile, so I was really excited to be able to invest my whole bonus in one of those new-fangled DVD players. It was about the size of a desktop PC and looked amazing under my TV and I didnā€™t care that there were only a couple of dozen films available for it because I was able to buy around six hundred over the following couple of years.

My friend took his Ā£500 and bought Apple shares.

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Hahaha Iā€™m sorry but thatā€™s a great story! :joy:

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I did something similar to your friend this year, got a nice little bonus from work (thanks to Trumpā€™s tax cut apparently) that I used to buy Freetrade shares last month :smiley:

Editing to state the obvious here: Fingers crossed itā€™ll pay off like your friendā€™s apple shares did!

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Here here. Iota coin excited me. It went from $0.8 to $4 pretty much overnight (slight over exaggeration). Anywayā€¦ I heard something big was coming - ā€œit was the new bitcoinā€. Jokes on meā€¦ itā€™s currently at $0.9 :nauseated_face:

Safe to say iā€™ve lost all interest in crypto - canā€™t do it to myself!

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I think this is the central problem with cryptos at the moment. Each cryptoasset is underpinned by a distributed app that is there to do a job or solve a problem. But the distributed apps havenā€™t proven themselves, or if they have they havenā€™t in a way that makes it obvious how you could start to put a fair value on them or their cryptoasset.

Eg Bitcoin certainly has some success, but it seems to me that its job is ā€œuncensorable payments/moneyā€ or something like that, and thatā€™s a use which doesnā€™t seem to be growing particularly (please correct me if Iā€™m wrong!) That job also got muddied a bit last year as investors bid the price up and everyone stopped using btc to buy pizzas.

Eg Ethereumā€™s job is ā€œyou can make your own distributed appsā€, but again itā€™s a bit unclear what value those distributed apps have yet.

So buying cryptos ends up feeling and looking more like speculating or betting than investing at the moment. Of course, this could well all change in time, and massively. Just feels like theyā€™re not there yet.

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