Due to the volatility often experienced in the shares market, which means that it is possible for a share you purchase to see its price fall before it goes up, before you decide to invest in stocks you need to be certain that you can afford to leave the funds you allocate to this endeavour intact for a few years. Of course, if you need to cash out and your shares have already risen in value somewhat, you can always proceed with the sale, but this may entail the payment of capital gains taxes on the transaction, while you may also be missing out on future gains that could be possible over a longer period of time. In any case, try to avoid selling stocks when you shouldn’t be doing so, for example when the market is falling and in attempt to prevent further losses, as losses are only locked when you sell at a low price. By keeping your stock and riding out the volatility you stand better chances once the market eventually bounces back.