William Chong

I lost money by putting shares in a low-priced stock, where a 20-cent fall meant a 10% loss in value. Yep. I think I might stick to term deposits or something… once I recoup my losses of course. If the market value of my share holdings drop a full 10%, I think I’ll cut my losses.

Explained as follows:

$10 worth of shares. If their market value drops down to $9, I’ll sell it all and consider it a loss. I’ll take that money and put it somewhere else instead. But why did it not rise to $11, or $12? Such is the mystery of life.

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Part of the reason why I’m in a panicky mood about finances is because I’m realising that I’ll have completed my degree at the end of this year, and will need to find a job and start working. To get a foot in the property market, you’ll need a deposit lump sum as well as a regular income. Is it possible? Of course. Oh yeah, didn’t help that a sea of red arrows greeted me this morning on the NZX page. It was like, man, Alan Bollard why’d you raise the OCR? That’s not gonna stop stupid people spending. Stupid people buy huge DVD-players and flat-screen TVs and cases of alcohol with benefit money.

Maybe that’s where all our spending is coming from, the government-funded benefits. Yerr… in a roundabout way the government gives me a student loan, and I buy food. So the government is paying for my food. Except I have to pay them back.

Dammit, bring back the barter system. Seven cows for a bag of lollies, anyone?

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