Categorized | Domaining Tips

Calculated vs. Foolish Risks

Posted on 22 March 2013 by Andrei

Domains are what investors refer to as “risk assets”.

In other words, your returns can be very high but you’re also risking more than with other types of investments, since liquidity-related issues and other aspects contribute to this.

There’s absolutely nothing wrong with that in my opinion.

As an investor, I’m not afraid of risks as long as I know what I’m up against.

Without taking calculated risks, your results as a domainer/entrepreneur/whatever probably won’t be very good.

On the other hand though, most beginners lose money due to foolish risks.

We’ve probably all been guilty of this and I’ve said it on over and over again: do everything humanly possible to fine tune your ability to make rational rather than emotional decisions.

Sure, emotional decisions are exciting and everything.

The “thrill” factor contributes to this and yes, making a decisions after hours of research is considerably more boring than making an emotional decision.

But it’s those “boring” calculated risks that will ultimately help you achieve sustainable results.

Most people aren’t capable of this or they’re not willing to invest the time it takes to make calculated decisions. Don’t be one of them.

1 Comments For This Post

  1. Jason Franklin Says:


    Great advice, I completely agree with you.


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