I’m apparently too risk averse to invest in VW stock. I keep thinking about it every time I hear a new wrinkle in the ongoing VW emissions scandal, but then I start to worry and don’t act on it.
I keep thinking what I should do is dump my other retirement investments and go all in on VW stock. It’s doing bad right now, but big companies tend to ride these things out. I could get a bunch right now while it’s in the crapper and then cash in when it returns to normal. These things have a tendency to do that.
After all, remember Exxon and the Valdez disaster? It was such a big deal that at the time I thought Exxon was done. Nope, they pulled through. Did perfectly dandy for a long time, though oil prices are a bit down right now. If I’d bought back in the late eighties and held on for a while, I could have cleaned up.
Of course, I was in middle school at the time.
So why not assume VW will survive this and end up making big profits later? Why not invest while their stock is hit bad by all this and get a big payday when they’re riding high again?
Well, if I invest then they’ll go bankrupt. That’s how my luck is. If I assume this is only temporary and they’ll make big money later, they’ll completely destruct. If I assume they’ll destruct and not invest, this’ll only be temporary and their stock will soar in a few years.
I’m just too risk averse, at least for now.
Heck, they ought to pay me not to invest. If I don’t gamble on them, they’ll have a much better chance of bouncing back from this.