Valeant Pharmaceuticals was the worst investment I could have ever thought of to funnel my very hard-earned money into.
Maybe that’s not 100% true; but it is the worst investment I’ve actually committed to. I saw as the company became the largest Canadian company, surpassing Royal Bank of Canada (RY) in late July, as it approached a Market Capitalization of nearly $112 Billion CAD. The market cap today is $10.5 Billion CAD. That’s a decrease of 96.3% of their value. And all within a couple months; it’s absolutely insane.
Back when it became the largest Canadian company, it caught my eye. I watched it for a little longer as it continued to climb; it seemed as though everyone who was investing in this company was getting rich! I had a little money lying around, and I thought – maybe it was time to expand my portfolio into some pure growth stocks – shifting away with some “fun money” from my dividend growth strategy. I’d read quite a few times, that when it came to playing the stock market as I was about to do, you should “only invest money you’re comfortable losing 100% of” – boy, I didn’t think it would ever actually happen, especially not to me.