Despite such crushing losses, investors seem unfazed. It's always going to go back up. It's easy to understand why investors are so sanguine. Technological innovation has been the driving force behind the current economic boom, and the stunning performance of well-known tech stocks has made investing in the sector seem easy. But don't let the gaudy numbers fool you.
Tech is actually the toughest sector of the market to play.
The stocks are volatile and the best businesses are richly valued. Plus, technology itself changes so fast that it's difficult for laymen to keep up. So it's crucial to know what risks you're exposing yourself to. Our first goal here is to deconstruct some dangerous myths that have grown up around tech investing and provide a sensible framework for approaching the sector. Time Inc. All rights reserved.