I did extremely well on Arrium for a while, which convinced me that I understood it. I had been averaging down as the share price steadily drifted lower so was already heavily committed when they announced their last capital raising. I went all in on the CR, encouraged by the fact that I'd been able to turn a few profitable quick trades, and the fact that the company was a Blue Chip Australian business and was therefore totally safe.
None of the things happened that I was sure would happen and I rode the thing right to the ground. I will never see a cent from my Arrium shares, and I will now have to die about 18 months earlier than if I'd understood what the serious investors were saying on Hot Copper!
Like you I have learned that there are down-side risks on any share that's priced at more than zero.
NCM Price at posting:
$20.25 Sentiment: Hold Disclosure: Held
