Post by Augustine Chiagozie (@pabloexchange)

❓ Why retail investors keep underperforming

Retail portfolios are down around 12.7% this year as many investors crowded into the same high-growth stocks. When those trades reversed, losses spread across entire portfolios.

The biggest mistake wasn't picking the wrong stock. It was poor risk management. Large positions, no exit plan, and portfolios concentrated in a handful of names amplified the drawdown.
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Simple rules can make a big difference: limit position sizes, rebalance regularly, keep cash for market selloffs, and compare your returns against the S&P 500 instead of chasing the next hot trade.
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Long-term performance is often driven more by risk management than stock picking.

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