Why do many investors still lose money when stocks boom?

(NLDO) - Last week, the VN-Index reached 1,500 points at one point, the highest since 2022, but not all investors were excited.

VN-Index ended the trading week of July 14-18 at 1,497.28 points, up 2.71% compared to the previous week and at its highest level in more than 3 years. Meanwhile, VN30 increased 3.13% to 1,643.91 points, far exceeding the historical mark of November 2021.

Stocks hit a three-year high

Stocks are on the rise as cash flows into the market. Trading volume on HOSE increased by 8.6% compared to last week, averaging over 1.3 billion shares per session; trading value far exceeded the 1 billion USD mark, the highest in the region. Foreign investors continued to net buy VND1,219 billion on HOSE this week.

The group of stocks belonging to Vingroup with VIC, VHM, VRE continued to lead the market; followed by stocks in the securities, real estate, and banking sectors with very positive price increases. Some stocks hit the ceiling for many consecutive sessions to the point of having to explain their unusual price increases.

Across stock investment forums and groups, many investors have begun to boast of profits of 30-40% or even 100% in a short period of time.

However, there are still many investors who "cry" when seeing their accounts drowning in red. Ms. Hoai Nhu (residing in Long Bien ward, Hanoi ) shows off her investment portfolio of 60 million VND but has up to... 14 stocks bought since the end of 2021 when VN-Index first surpassed the peak of 1,500 points and held until now.

Some investors' portfolios still suffer heavy losses in the wave of VN-Index reaching 1,500 points.

After nearly 4 years, her portfolio is holding only 1 VCG stock, the remaining 3 stocks are profitable, the rest are all still losing. For example, S99 stock lost 50%, TNI lost 66%, NVL lost 39%, VHG lost 82%, VHG lost 82%... The entire portfolio, up to now, has a total loss of 62%.

"Seeing the stock market recover, the VN-Index continuously increasing, I also opened my portfolio to look, but the more I looked, the more disappointed I was because it never reached the shore. At the end of 2021 and the beginning of 2022, when the stock market increased beyond 1,500 points, I knew nothing about investing but also listened to my friends to open an account. Whoever bought "3 letters", I bought, each code 100 shares or a few hundred shares. At first, this code or that code made a profit, but when the market collapsed, the account started to lose heavily" - Ms. Nhu complained.

It is worth mentioning that her current investment strategy is to "sit still", not buy more stocks, not buy average prices of stocks that are in an uptrend. "I wait for stocks to "reach the shore" to sell to recover capital" - this investor said.

There are still losing investors.

Not only those who were "stuck" at the peak of 1,500 points of VN-Index a few years ago, even at the present time, many other investors are still losing money. Because according to statistics from securities companies, only about 12/50 stocks with the largest market capitalization have increased more strongly than VN-Index from March 31 to now. Up to nearly half of the stocks in the top 50 have not yet recovered to the time before April 2025.

Mr. Hoang Nam (residing in Tan Hung ward, Ho Chi Minh City) said that last week, every day he turned on the electronic board, he saw that the VN-Index increased by 10-15 points, but his net assets remained stagnant, and even the loss of 300 million VND had not improved. The stock portfolio he is holding is mostly oil and gas stocks such as PSD, PVT, PVP, some steel, banking, and real estate stocks. Many stocks were bought at high prices, so they are still at a loss.

VN-Index rises in V-shape in a short time

"I bought PVT shares when the Israel-Iran conflict was tense, pushing oil prices up. I thought that oil and gas stocks would benefit like in previous years, so the proportion of PVT in the portfolio was the highest, more than 1.3 billion VND. Up to now, this investment is still losing more than 240 million VND while the VN-Index continuously sets new highs. It would be a pity to sell it for other stocks now, but I don't know when I will "return to shore" - Mr. Nam confided.

Stock forecast next week

Mr. Dinh Viet Bach, Analyst, Pinetree Securities Company, analyzed that last week, VN-Index improved, cash flow focused mainly on pillar stocks such as securities, real estate, banks and Vingroup. Investor sentiment has become more cautious as foreign investors signaled a reduction in net buying and the market lacked strong enough supporting information. The tug-of-war between buyers and sellers has become clearer.

Commenting on the trend next week, experts from Pinetree Securities said that the mid-term uptrend of VN-Index is still maintained, but signs of short-term correction are gradually becoming clear as profit-taking pressure increases, especially in the context that next week is the peak of the announcement of financial reports for the second quarter of 2025.

"The differentiation is expected to deepen between industry groups, as cash flow tends to shift away from stocks that have increased rapidly to stocks that have not increased or benefited from positive business results.

Profit-taking pressure may increase next week. Investors should be cautious, avoid "FOMO" buying at high prices, proactively take advantage of the uptrend to gradually close profits, preserve profits and restructure the portfolio appropriately" - Mr. Dinh Viet Bach said.

Source: https://nld.com.vn/nhung-chuyen-la-doi-khi-chung-khoan-len-dinh-3-nam-196250720100515485.htm