Are you focused on your investments?
Are you focused on your goals?
If you are able to save and then spend, it is easy to achieve everything in life. The challenge is there in identifying the right investment product and sticking with it. If you are investing in fixed income debt products the interest rates have dropped to a greater extent. This makes it impossible to achieve financial goals. When you are looking at equity as an avenue you need to be clear with your investments else you will close it at the insistence of others.
3 tips to stay focused on your investments ;
If you are investing in equities, look into ACTing on these 3 tips for achieving success,
Achieving Goal ;
Link all your investments with a goal. It can be wealth creation, kid’s marriage, kid’s education, your new home, buying a luxury car, etc. As you are investing in equities let your goal be long term goal of more than 5 years. All the mentioned here long term goals.
If you had chosen the right stock, then it is easy to stick with it for a longer period. Most of the stocks might not grow for a longer period of time. All it needs is a right trigger then it will give more than 100% returns in a week or ten days.
You should have clarity before investing in any of the instruments. If it is the stock market, you should be clear on the stock you had chosen. If it is a mutual fund, you should be clear on that product. Ask for help, but also understand the product recommendation suggested to you.
Many of them, invest blindly and then they blame everyone except them. From now on, if you hear someone blame others for their investment debacle just ask them, “Did you had clarity before investing ?” . In almost every situation it may not be the case.
The most crucial factor for investing is not your money, it is the time you give for your investment to grow.
Warren Buffet says that his investment timeline is forever. This was his reply when someone asked him his timeline recommendation for investment.
You don’t need to stay invested for an entire lifetime, at least you can stay invested till your goal is achieved.
Once you follow these 3 tips you won’t give up your investment for short-term noises in the market. During the 2008 mortgage crisis Indian stock market almost 50% over a period of time. Many of them had sold whatever is left during that fall. If you are a wise investor you would have added a lot during that time. Within the next 6 to 8 months, the stock market gained almost 40% of the losses.