Wednesday, January 2, 2019

Make 2019 Your Best Year Yet For Investing

For many years, I've found that sensible investors display a prevalent characteristic: discipline. No matter how the current market moves or what all-new investing trend hits the headlines, those who remain centered on their objectives and tune out the noise are
set up for long-term success. 


The initial groundwork to investing is saving, and you do not usually become a saver without a strong dose of discipline. Savers decide to sock away part of their income, which means spending less and postponing gratification, despite how difficult that might be. 

Self Control

Of course, self-disciplined investing extends beyond diligent saving. The financial markets, basically, are uncertain. I have yet to meet the investor who can time them perfectly. It takes self-control to withstand the desire to go all-in when markets are frothy or to retreat when things look grim. Staying put with your investments is one strategy for handling volatility. 


Another is  rebalancing, it needs even more discipline since it means maneuvering your money away from stable performers and towards poorer performers. Additionally, persistence, a form of discipline is the friend of long-term investors. Much higher returns are the possible reward for weathering the market's turbulence and unpredictability.

We have been savoring one of the longest bull markets in history, but it will not continue eternally, as we have been seeing lately. So get yourself ready now for how you will respond when volatility returns. Do not panic. Don't go after returns or look for solutions outside the asset classes you trust. And be sure to rebalance routinely, even when there's turmoil. Even if you're a master of self-discipline, get a boost from technology, or collaborate with a professional adviser, know that discipline is necessary to get the most out of your investment portfolio. 

So make 2019 your best year yet with your investing. Stick with what works. Avoid the fads and stick with tried and true investing techniques. Good Luck.

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