I see many people concerned about their investments, understandably so. Many are seriously considering selling or getting out… this is troublesome…
Here’s why.
You have NOT lost any actual money now, but you do lose the moment you sell your investments at a price lower than the what you paid to buy. Many, many investors regularly make the wrong moves and lose. Out of fear and misunderstanding, they buy investments when prices are high (bad) and they sell when prices are low (bad).
To achieve good/great results in investments, you MUST –
Control your emotions like fear, and follow sound investing policies over the long run.
1. Don’t be greedy. Be satisfied with reasonable gains from your investments. If selling is in your plan, sell when the prices are going up where you’ve made a reasonable profit and gain. Don’t wait for the highest peak (greed) as it will pass you by in a blink - you’ll miss it and lose.
2. Don’t sell your investments when prices are going down or are low because you’re afraid and fearful. It’s a sure loss when you sell then. Instead, be disciplined, ride it out and wait until the investments prices are again increasing.
3. You should always develop a plan before you invest. Develop “money rules” for your investments. Then follow that plan with discipline. How much money to invest, what results you want, what is your plan for exiting the investment, diversify into several types of investments. Implement and manage your plan and you will get the best long term results.
Investments are cyclical and will always go up and down, so make sure you take disciplined actions and control your emotions. Recognize that you will lose some, you will gain some, that’s just a fact of life. However with a “money rules plan”, you will lose a lot less and gain a lot more.
How the Wealthy Got There - with their investments
People who become millionaires understand from their very beginning (BEFORE they were millionaires) they must have a plan and follow it diligently. They realize that failing is part of building success.
“Failing Forward” is how life is. You have to fail in order to be successful, because that’s where you learn the lessons of how to do it better. Fail forward in investments, business, in all areas of life, and learn the lessons to gain wealth in the long run.
These are very important principles to implement in your wealth strategies. Get started, go do it and see the changes and rewards you’ll get over time! There is never a bad time to start, but it is bad to never start.
I’ve been a financial advisor, CPA and consultant to individuals and business. With that background and experience I share these helpful strategies.
Enjoy and live “in-joy”. Wishing you the best everyday.
Barbara Filla
Business and Life Coach/Mentor
Source: http://www.ArticlePros.com/author.php?Barbara Filla
|
