Everyone Else Is Buying It
Following the herd when it comes to investing is a big no-no. Sure, panic buying sometimes creates a frenzy akin to the Dutch tulip craze of the early 1600s. However, just like that bubble popped, “hot” stocks and markets often crash when the excitement passes and everyone heads for the exits at once.
Rather than buying based on what’s hot, do some research and learn about the fundamentals behind an investment.