Ten Principles of Investing
I got this Ten (10) Principles of Investing from Freeinvestmentreport.com. I would like to share it. This is one way to condition our minds in terms of stock investing. Hope this helps!
- 1. Start investing now. You could be getting better returns on your money today to prepare yourself financially for your future.
- 2. Make a financial plan. You must know what your goals are to be a successful investor.
- 3. Do not follow the crowd. When investing, do what the wealthy do and look for opportunities to get in before the masses.
- 4. Don’t overpay for stocks simply because the companies behind them are large and well known. Too many large companies are overvalued, and their prices will eventually fall back to earth.
- 5. Have patience when investing. Wait for the right time to enter and exit your trades.
- 6. Research, research, research. And if you can’t do your own research, seek advice from experienced professionals who specialize in the markets.
- 7.Remember that all big companies were once small companies. Look for high-potential opportunities in the micro cap and small cap sectors.
- 8. Be cautious when investing borrowed money. Your investments can fluctuate in value, whereas the money you borrow must be paid back in full.
- 9. Don’t put all your money in one place. To protect yourself, make certain your portfolio is diversified across a number of unrelated financial instruments.
- 10. If necessary, close out losings investments to cut your losses. Stocks do not always bounce back.
Entry Credit: http://www.freeinvestmentreport.com
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number 11. be patient coz it needs time to make ur money grow
Thanks for sharing! Love the principles … they’re simple and makes a lot of sense.
Nice tips! For number 10, I an relate to that because all my remaining investments as of now are losing. But it has appreciated a lot compared before. Those were investments in Unit Investment Trust Funds in the form of Equity Funds. I invested when the stock market index was pretty high at 3,500 points. As of now, I don’t know if I should still hold or just withdraw it therby realizing actual losses.
I’m currently having paper losses right now! The market is sluggish and some of my investments are losing. But, remember the general rule. Sell high, Buy Low. So I did purchased more this time. And glad to note, that I’m not losing at all, instead, gaining. Just a good percentage though. And, I’m willing to wait till it goes up. I’m more into the investor side… I used forex for my trading activities.. lol
How can i invest in the market?tanxs