- Opposite investment is an investment strategy that involves counteracting existing market trends in order to make a profit.
- The idea is that markets are subject to herd behavior, heightened by fear and greed, which makes the markets periodically overpriced and undervalued.
- The opposite see opportunities to buy shares that are currently selling at below their intrinsic value.
- Controversy can be useful, but it is often a risky strategy that can pay off over a long period of time.
- Another disadvantage associated with the opposite investor is the need to spend a lot of time researching stocks to find undervalued opportunities.