Putting all your money into one stock

Concentrating everything in a single company means one piece of bad news can hurt your entire portfolio. Spreading investments across several companies and asset types (stocks, bonds, funds) reduces this risk — this is called diversification.

Buying based on tips, not research

A friend's hot tip isn't a substitute for understanding what a company does, how it makes money, and whether its price reflects reasonable expectations. At minimum, read the company's latest published results before buying.

Ignoring fees

Brokerage commissions and other trading costs eat into returns, especially if you trade frequently. Fewer, more deliberate trades usually cost less than frequent in-and-out trading.

Reacting emotionally to price swings

Prices fluctuate daily. Selling in a panic during a dip — or buying purely out of excitement during a rally — often leads to buying high and selling low, the opposite of what you want.

Not tracking your actual returns

Many investors lose track of what they paid and what dividends they've received, making it hard to judge whether an investment is actually working. Keeping a simple record (or using this app's Portfolio tracker) makes real performance visible.

Expecting quick riches

Stock investing is generally a long-term activity. Short-term trading can work for experienced, disciplined traders, but it carries much higher risk for beginners.