Every time I hear someone discuss account drawdowns and mention that a 10% loss requires an 11% gain to break even, or a 50% loss needs a 100% gain, I can't help but cringe. The stock doesn't know you own it. Why couldn't it surge 233% just as easily as it dropped 70%?
The real question should be: what is the stock's value, not its price?
here are some examples from my portfolio
Look at $glasf from the top it dropped 85% at its worst. To get back it would have to create an outstanding 600% return… So? It’s worth more than that.
Of course, I didnt enter at the top of this stocks. In fact, I’d been adding to the positions at the lows
I’m cherry picking these examples at this stage because I do think all of them will eventually create new highs (unless they get adquiere of course) and wanted to leave a record of the mindset needed to go through tough times. Constantly thinking “what is this worth”.