“I tend to track my stocks closely. I like to hold 2-3 stocks as it is easier to manage, and I can keep a close eye on what is happening with these stocks.”
Liam Ryan @AllRise
I'm 24 years old and have been trading crypto full time for the last year and 9 months. My job before that was as a chemical engineer. I studied engineering, but I have always had an interest in finance and am now looking for a job in traditional finance or as an analyst at a research company.
What is your background story? When did you first start trading?
I made my first trade when I was 15. My dad had me monitor his portfolio, read the newspaper and stock news every month and track his portfolio. I've always had a strong interest in numbers and math.
Where did you hear about Tiger Trade & what are the features you like?
Tiger Trade looked like a good platform to trade US stocks and options. It has great features and provides an all-in-one platform for analysis. It saves me a lot of time as I do not have to go to lots of different websites to get the information you offer. I sometimes tend to be lazy and it is easy to look at the analysis and company reports that Tiger Trade offers.
I also use Reddit for information. Sometimes I will read a hundred posts and find a smart opinion or something that I haven't thought of, and I can use that information to trade on Tiger Trade. This is possible to do because Tiger Trade offers a comprehensive list of company stocks.
I like the overnight liquidity function in the app. When I go to sleep, I can check this function and it offers a good overview of if my position will be liquidated overnight.
I tend to track my stocks closely. I like to hold 2-3 stocks as it is easier to manage, and I can keep a close eye on what is happening with these stocks. I keep track of the stocks through the homepage of the Tiger Trade app. It gives a nice overview of the stocks in my portfolio and how they are tracking that day. It also has my watchlist on the same page so I can view other stocks that I am interested in at the same time. I also use the portfolio tab in the app to check on my portfolio.
What is your Tiger Trade portfolio size?
My portfolio size with Tiger Trade is currently $25k NZD and I am currently waiting to see what happens in the market over the next few months and will be adding larger positions to this.
What's in your Tiger Trade portfolio right now and why did you invest in these specific companies?
I own Rocket Lab, A2 milk and Tesla. I hold a large position in A2 milk as I believe that there is a strong case that they could be acquired by a large international brand in the near future, I also believe that they will be granted FDA approval to sell their infant formula in the USA.
What are your investing styles or strategies?
I learned how to short stocks in February of 2020 during the start of COVID. I saw large hedge funds implementing this strategy and thought this is a strategy I can do. I use the overnight liquidity tool to track my positions and it is a good indicator to have.
When buying stocks, I always have an initial prediction and reason for entering a trade. If the stock price drops by 10-20% but the original reason I purchased the stock is still valid, I will hold off selling and wait for my initial prediction to either no longer be valid, as I would expect the stock price to increase.
How are your returns so far?
I have been trading through the Tiger Trade for a couple of months, and with rocket lab and my other investments, I am currently up 10-15%.
If you could go back to when you were younger, what would you tell yourself about investing?
Cut your losses early, it is better to take a quick loss and move on. If you double down on a loser, you triple your losses.
What stocks or options are you watching right now and why?
I think Rocket lab will hit $20 by 2024 and is a good buy. I have been dollar cost averaging on rocket lab stocks because I see a long-term future with the stock and the company. I would only dollar cost average stocks that I go long in, as it reduces my risk if the stock price goes down and with a long-term investment this an effective strategy. I do not add to my short positions, it is very risky, and the upside does not outweigh the downside.
Apple and Amazon are also some of the stocks that I am watching closely as I believe they are good companies.
What are the characteristics of your ideal stocks? For instance, if you had to choose right now, which US stocks do you like best and why?
Products of companies that I use for example, Apple and Coke. For instance, I use apple products, the iPhone, so I would support the companies that I use and get intrinsic value from.
If I was to invest in a beverage company, I drink Coke not Pepsi so that would impact my decision. I also understand that if I thought Pepsi was undervalued by 50% then I would open a position in the company.
How many hours a day do you think it takes to be a successful day trader/ trader, or just make money in the stock market?
If you want to be a successful day trader, I think it’s a 12–16-hour day job. As an individual trader, you are up against large corporations that have more information and resources than you and this makes trading very competitive and difficult.
It is a lot easier to be a general trader that looks at a company and sees that it is undervalued and takes a long position. This is different to day trading and less competitive. It gives you more time in the market and reduces your risk.
When is a good time to sell? If your stock is already 2x or 3x, should you sell?
I think if the fundamentals of why you bought the company in the first place are still valid, then there is no reason to sell just yet. It is always hard to pick the top and bottom but if your initial fundamentals of why you purchased the stock in the first place are still valid, just hold. When those reasons are no longer valid, it is time to look to sell. It is also important to look if the company is a frontrunner in the industry.
What are your opinions on global stocks in the next few months?
There are so many factors to consider with this. The US government, the fed and incentives.
The trend I expect is down but with a lot of rallies - up and down. It’s hard to predict what will happen as the market is unpredictable.
Are there any memorable achievements that you have made in your investing journey? What did you learn from them?
I invested early in A2 milk when they started, I looked at Fonterra and thought that was expensive. If I see a good opportunity, I tend to put a large percentage of my portfolio into it and not just 10 or 15%, this is because I am younger and I have a higher risk threshhold.
Are there any mistakes you have made in your investing journey and what did you take from them?
In 2018-2019 I was a big fan of Elon and Tesla. I had big positions with Elon and got caught up in the fanfare regarding him. He then starts getting into legal issues, and scandals, calling people names on Twitter and getting caught up in politics. I sold part of my position in Tesla as I'm not interested in these personal things with Elon.
What's your investment goal in 2022?
My goal would be to break even.
Do you prefer investing in a Bull or Bear market?
Both are good in different ways. With a Bull market, things are going up and a lot of people start investing, but it can be hard to time things like the top and bottom.
I prefer to invest in the Bear market. Things will eventually even out, although I might not have bought at the bottom- it is more likely the positions I bought will go up over time because of the bear market drawback.
"This information only represents the interviewee's opinion and experience and should not be regarded neither as advice on acquiring or disposing of financial products nor an endorsement of Tiger Broker’s products or services. Some of the information being published here may involve paid or sponsored content by Tiger Brokers, its affiliates or business partners. The information presented should be only for your reference. Tiger Brokers assumes no warranty or responsibility for the accuracy and completeness of the information. Investing carries risks, including the risk of losing an amount in excess of your initial investment. Investors should do their own research and seek professional advice before using the services of Tiger Brokers and making investment decisions. Published by Tiger Fintech (NZ) Limited."