It is a dream of many investors is to hit a “ten bagger”.
A “ten bagger” is where you are making more than ten times your initial investment when exiting the investment.
Of course, it’s nice when it happens, but it’s important to remember that not all stocks have that potential.
During the course of your life you will be lucky to get 5 or 10 of those, maximum.
In most other cases stocks will be so overvalued that it will be virtually impossible to find a stock that grows as much.
The question then becomes what do you do when you can’t find any good investment opportunities.
To answer that question we first need to recognize that there are many different investment strategies. You can for example look at the charts, at growth companies or you can buy them all in an index-fund.
But the one that I favor is one where you are buying great value at a decent price (and not the other way around).
That is the reason why it pays off in the long run to wait for the opportunities to arise. They always do.
So you may think that you are wasting your time when you are not buying, but it is not true. What you are really doing is that you are waiting for the price to come down to a more favorable point.