Investment Advice...

A message to those long time, probably older surfers of the world, that seem fed up with the crowds, the poor etiquette, and sheer lack of understanding of how it all works, the floaters, the driftwood, the slalom cones, the speed bumps, the rabbit in the headlights, the frightened, the screamers, and not to mention the foil boards, the kneel up paddle boarders, yes the ones who decided that Stand Up is not for them, kneeling on the way out, or back in. It seems that during, and since lockdown, the world wanted to become a surfer. My message to those disillusioned surfers is simple, ‘Please don’t give up, please keep surfing’. 

Yes the ocean is busier than ever with this new breed of water user. I won't call them surfers just yet as they might go surfing but there is little notion of surfing heritage, and would I be too outspoken if I said that many of them will never actually make that real sacrifice of time, money, mental and physical exhaustion, relationships and career, to become a fully fledged surfer. Are they selfish enough in these early years to see it through? I might have this wrong but I think the legendary Rabbit Batholemew once said ‘you're not a real surfer until you’ve done your first bottom turn’, so I’ll go with Rabbit on this one. 

I recently listened to a SurfSplendor podcast where CJ Nelson was the guest and he talked about surfing as an investment. The time we invest in being surfers to move up the order, the time it takes to be one of the elders in the line up. It's a great listen and I won't make a hash of it any further,  but the term he used was ‘investment’ and I found this intriguing. So I thought I would explore a little further in terms of surfing being an investment, For the purpose of second part of this post let's just call Surfers the traders, and wave the investment, and our beaches, let's call that the market. 

Like business people or entrepreneurs, who make investments they only do this for return on that investment and make decisions based on market circumstances. Many long term surfers, sorry ‘traders’ are disillusioned and ready to throw their lifetime of investments away. They’re selling up and moving on. Maybe they've had all the return they need? But if that were the case, then why do they still moan about there being too many traders at the market? If you're done, you’re done. But I think they moan because they still want to invest. They don't really want to sell, they just want some change and less traders. Why? Because there’s simply not enough return for everyone to enjoy. I’d like to tell them to  dabble in other markets for a bit if you must, your absence will free up some space for the rest of us; but please don’t sell up on the greatest investments ever, the ones that you know will make you rich beyond money, and make you a winner in life.  

Instead of selling up and getting out, be wiser, a little shrewd, cheeky, even a tad brash, more confident and assertive within the market. If it becomes a battle between you and the newbie getting the bonus, and the rewards you worked so hard for, who will win? You, or the newbie, who've spent little time chasing investments. What will you do? Endlessly moan and then give in? You can if you like, and I know I’ve done my time moaning, but what would be better? 

I would suggest you analyse the markets and get stuck in, reinvest. You’ve spent years getting the returns, and yet, because of a few hundred thousand newbies who’ve decided to dabble in the market, who’ll soon realise that they will need to play the long hard game before they see anything like the returns you've all had; and you’re willing to get out, and do what?

Let’s look at how to handle these new traders. The ones putting in the effort are obvious, and deserve our time too. Maybe pass on some trading knowledge to help them on their way, believe me, this will feel rewarding and you'll feel great. The ones that really don’t do the groundwork can't want the returns. To receive them they have to play hard and take risks, but many are just bystanders, contemplating what's on offer. It’s as plain as day that for some they’re lost in a busy market,  not knowing which investment is the right one, wasting effort on everything that comes their way. 

As experienced traders, we know when the right investments come our way. The ones that will pay off massively, and these are what we want. However, now it seems we have the occassional deal breaking fight on our hands. If your effort outmatches theirs, which it should,  then there’s only going to be one winner. You don’t have to be aggressive in this form of trading, just focussed. Playing the game is important here. It might even feel like a little insider trading because you have this almost secret knowledge from past investments and right the information, like the little indicators, and this give you the heads up. You give a little false information by shifting your focus one way, and the newbies will follow. You move back again, confusing the competition, and using these tactics you've moved them out of their comfort zone, When a real investment comes along, you’ll be in the better position to buy and they'll have missed the opportunity, again.  

Occasionally you'll undercut them on the deal, because it's just to good to miss. They might respond depending on their knowledge. In this situation, you're not sending a great message or settng a good example, but this situation is personal to you, it's your call.  Explaining your actions to them in a professional manner might involve stating that you’ve been waiting for the dividends  a lot longer than they have and they’ll have they’re opportunity soon enough. This might not wash, and please don’t tell them that just because they're wearing a traders outfit, and have all the latest gear, this doesn’t make them some hotshot just yet. Aplologise, be humble and leave, happy in the knowledge that you made a calculated risk and you got the reward.  

If they undercut you; then educate them of the rules of the trading floor. Let them know that it might be a good idea that they learn the rules for future investments.  If they say sorry, then be nice, don’t be angry, maybe even encourage them to have the next wave. Offer some advice on their position in the market. Sorry goes a long way, and should be reciprocated with a thumbs up. If you're still upset after they've apologised then thats down to you. Ultimately here lies your responsibility, you chance to part with your knowledge. and play a part in a more pleasant market place.   If no one tells them what they did wrong, they’ll keep making bad investments.  You might also wish to pass on that if they did these dodgy deals in some places of trading, they could lose everything, some traders can be very aggressive.

If they persist in showing off their new found ego, then being a little shark-like can help. Circling your competition often helps, it’s an uncomfortable feeling, especially when your new to the business. I remember feeling like I was about to get bitten many times in my formative years learning the basics. Only once did I get circled and nearly told to leave the floor. But I learnt a valuable lesson and kept my distance for a time. I apologised time and time again to this hardened trader, and only made investments when I knew it was a wise move. Over time this trader softened to my position on the floor, he even threw me the odd deal. As I became confident enough to get results,  I’d like to think I was a polite trader,  and this was greeted by the older traders with a welcome, and an open market.  But the more experience I gained, I too got a little excited and greedy, making too many investments and undercutting others, but with age and I've became more patient, wiser and very selective, it's a nicer way to get investments. 

To my fellow traders up and down the coasts, world wide and beyond; Don’t give up on your portfolio.  Adjust your strategy and go for some smaller investments, become selective yourselves. Some days you might not feel like trading, other days you might be surprised and get the deal you’ve been looking for, and that will be enough.  Be humble, don't jump the queue. and  don’t be one of those that stands in the queue and shouts,  ‘I’m next’. 

If you're still not happy.... invest in cycling.