{"id":3062,"date":"2017-03-27T21:54:52","date_gmt":"2017-03-27T21:54:52","guid":{"rendered":"https:\/\/raizinvest.com.au\/investors\/oh-snapchat\/"},"modified":"2021-02-08T04:45:48","modified_gmt":"2021-02-08T04:45:48","slug":"oh-snapchat","status":"publish","type":"post","link":"https:\/\/raizinvest.com.au\/investors\/blog\/oh-snapchat\/","title":{"rendered":"Oh Snap(chat)!"},"content":{"rendered":"
\"image\"<\/figure>\n

By Clayton Daniel.<\/p>\n

 <\/p>\n

I\u2019m
\nsure you heard the news. Snapchat listed on the US stock exchange this month.<\/p>\n

This
\nwas a pretty big deal. A company which built itself on a scandalous premise has
\njust turned it\u2019s founder and CEO Evan Spiegel into the world\u2019s youngest
\nself-made billionaire.<\/p>\n

This
\nnineties kid has shown the world that eyes are what matters the most. Not early
\nsales, not the barriers to entry \u2013 but simply attention. And if you can pull it
\noff, riches and\u00a0super model<\/a>\u00a0fianc\u00e9s await.<\/p>\n

Things
\ncouldn\u2019t be better for Evan. But what about the investors since\u00a0Snapchat<\/a>\u00a0listed?<\/p>\n

Well
\nwe\u2019ve seen a lot of volatility. In March alone the stock price has bounced
\naround between $19 and $30. This isn\u2019t completely out of the ordinary for such
\na high profile IPO, but I\u2019m sure the market is still deciding on whether
\nSnapchat is the next Myspace or the next Facebook.<\/p>\n

But
\nimagine all those people who waited patiently for this stock to list, bought at
\nthe top, freaked out and sold when it bottomed out, and sat there looking at
\ntheir bank account with 30% in it only a few days later.<\/p>\n

I
\npromise you this happened.<\/p>\n

Do
\nyou know why?\u00a0Because unless you are an investment expert, unless
\ninvestments are your day to day job, investing is controlled by emotion.<\/b>\u00a0The
\nold Wallstreet adage is still true\u00a0\u201cfinancial markets are driven by two
\npowerful emotions \u2013 greed and fear<\/i>.\u201d<\/p>\n

And
\nI\u2019m not slamming those who did it. More than likely it was those hoping to
\nlearn more about investing, were aware of Snapchat, so took the plunge.
\nEmotions would have completely driven the entire experience.<\/p>\n

I\u2019ve
\nbeen there. All investors have. Controlling your emotions while investing is
\none of the hardest \u2013 yet most pivotal things to master. The problem is, unless
\nyou want to spend many hours trading for either yourself or a large
\ninstitution, you\u2019re always going to be emotionally involved.<\/p>\n

Another
\noption is an investment strategy that has been outrageously popular since the
\nGFC,\u00a0outsourcing your investment decisions to an algorithm<\/b>. This
\ntrading algorithm doesn\u2019t suffer from emotional involvement, isn\u2019t swept up in
\nthe latest craze, or sell at the worst time possible.<\/p>\n

It
\nis simply designed to follow investment instructions. It\u2019s called an\u00a0ETF.<\/b>\u00a0There
\nare many different types, but the most popular simply hold a tiny piece of the
\nbiggest companies in the world. For example, if you had owned an S&P500
\nETF, you would have automatically invested around 0.2% of your portfolio in
\nSnapchat regardless.<\/p>\n

No
\neffort. No research. No getting swept up in the emotion of the trade<\/b>.
\nHowever now Snapchat will play a roll in your overall performance. Not a
\nmassive roll, but an appropriate sized roll. It would sit relatively equally
\namong 500 other large and profitable businesses.<\/p>\n

And
\nthis is the beauty of\u00a0<\/span>ETF investing<\/a>. It is emotionless investing, the best
\nkind of investing. And unless you become a full time investor, it will be the
\nbest way to unemotionally invest over many years. So unless you are a
\nprofessional investor, any head-space you put towards investing is simply going
\nto create\u00a0<\/span>decision fatigue<\/b><\/a>.<\/b>\u00a0And the best way to
\ninvest without emotion, without the effort, and without the need to become an
\ninvestment expert \u2013 invest in ETFs.<\/span>\u00a0Luckily for you, that\u2019s all Raiz
\nuses. For more information on Raiz fees, click here<\/span>.<\/a><\/b><\/p>\n

By Clayton Daniel of Fund Your Ideal Lifestyle<\/a><\/p>\n

 <\/p>\n

\n

 <\/p>\n

Don\u2019t have the Raiz App?<\/h3>\n

Download it for free in the App store or the Webapp below:<\/p>\n

\n
\"download-raiz-app\"<\/a>
Click to download the Raiz app<\/a><\/figcaption><\/figure>\n

 <\/figure>\n

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Past return performance of the Raiz products should not be relied on for making a decision to invest in a Raiz product and is not a good predictor of future performance.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

By Clayton Daniel.   I\u2019m sure you heard the news. Snapchat listed on the US stock exchange this month. This was a pretty big deal. A company which built itself on a scandalous premise has just turned it\u2019s founder and CEO Evan Spiegel into the world\u2019s youngest self-made billionaire. This nineties kid has shown the […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false},"categories":[1],"tags":[],"yst_prominent_words":[128,1299,98,151,224,245,233,314,1517,313,97,82,117,166,125,239,3308,1516,587,145]}