Here’s the golden question — How good are your investments? Are you managing your portfolio well?
Can you become a great investor?
Wouldn’t it be wise to do something better in the stock market? Unfortunately most people like the personality and the characteristics that lead to great investing especially they want to do an impulse decision regarding money. If you want to take a shot at success ask yourself if you possess or can develop these characteristics.
Do you understand the risk and can you handle it
Investing necessary in was taking a risk of losing some money, some of the time. The very idea that makes you nauseous is you would better find another way to get rich. Thought they were is tolerant until they lost 40% of their portfolio value in the last crash. You understand that there will be always know the crash would be unprepared for what it happens.
Do you have a long attention span
Most investors buy for quick gain. If the stock Falls or goes sideways they lose interest. But the market is often something which you can never predict, and it takes a lot of time to change the mind about a company, and I company with the winning formula may not execute the right way. Then Austin world is littered with the people who would have been rich if they had hung on the right companies. Planning on real estate investments? Read this.
Are you willing to put in some timeime
Picking the stocks wisely means reading annual reports and checking out the competition and evaluating share price. Too many universities operate on basis of heart tips and recommendations from a broker you might not know more than they do can the back in the crowd when it is appropriate follow them when it is sent.
A great investor must have the courage of his or her convictions when everybody else panic sub I just because everybody else buys that makes you fall out in the crowd and the sheep-in-the-herd. On the other hand providing your shoes on always being different can also be very dangerous. Especially when you’re betting against the market.
Sometimes a crowd is right, but often you need to have your own intuitions and should learn to control your emotions and look at the numbers if you want to know the difference.
Can you avoid over trading
People investing is like playing the slot machines. They want to be entertained all the timr, and they switch in and out of companies in hopes of making out a big score. If you treat the market like a casserole treat you to as a gambler. Sooner Or Later you lose your shirt. Need some professional advice?
Are you humble?
Doctors are often the most poor investors. There are reasons likely that many do have their our confidence and their intelligence while investing with their Limited skills. Investing in the market is not performing a surgery. Enormous amount of market action depends on random and unpredictable events. And the thinking to know what the market or what you want on the stock on a day to day basis will make sure that you lose a lesser fortune. In the long term the performance is somewhat more predictable but there are still a lot of wild cards. Being humble is always best. It also means not falling in love with the ones you got right, As strategy differs from person to person.
Can you avoid over-reliance on Experts
There is probably no other fields are experts know as little as they know in investing. Nobody can predict the future. Analyse what your favourite do for a few months, and you would be very astonished by the overwhelm confidence in there prediction that turn out to be utterly wrong. Not all investment bankers work towards analysing real data there are a few. Financial experts who can provide you guidance, are not well known players in industry. That everybody makes, is there on bread.