The worst investment I have ever made was Citigroup (C) before the fall. On the recommendation of my “broker” (Read Joker), I purchased multiple lots of Citigroup, which was paying an 8% yield at the time. The broker was churning me, and little did I know that he was selling me shares that the brokerage house owned. Luckily the share counts were relatively small, and when I sold for a loss, it was not a big one.
I wrote off those losses on my taxes. It was less than $3K
What I learned was that many brokers have their own best interests in mind, and that I didn’t really need one if I learned what I needed to know and self directed my investments. Also learned not to chase yield and to do my due diligence.
August 26, 2019 at 2:17 pm#1116081
Buying gold just before the October 1987 crash. My indicators were predicting the coming crash and I thought gold would be a safe haven. WRONG! The crash was so bad that investors had to sell everything including their gold to cover their margin calls. Nevertheless I continue to hold significant gold positions in shaky economic environment like todays. I currently have 15% of my investments in gold and they are already up over 50%.