Random Investing Lessons

When you have saved enough money to invest there is no need to gamble it away
just to impress your coworkers or neighbours.

Stop thinking about trying to hit home runs with you have always been a singles hitter.

You don’t want to lose everything you’ve saved for
so let’s assume you will never be able to make it again.

Now what should you do?

Recognize right now that there are things you can do and things that are out of your control.
I’ve learned lot of these lessons the hard way so you don’t have to.

Stop doing dumb shit with your savings.

Invest wisely and preserve your wealth at all costs.

Believe me it takes a lot longer to make it and save
and onlyan instant to lose it all if you insist on doing dumb shit with your money.

No matter your starting point you can set-up
a simple, safe, low risk dividend growth stock portfolio.

“If you can’t take 3-4% drops in the market
at least 3-4 times a year, then you shouldn’t be in the stock market at all”
- Barry Schwarz

Think about what you are going to buy and ask yourself the question;
Can I sleep at night owning this portfolio?

Investing Don’ts

1. Never believe what other people tell you about making more money elsewhere
2. Buy and sell stocks based on the latest news headlines
3. Make a decision about where you hear the total market is headed
4. Borrow to invest on margin
5. Increase your risk because markets keep rising
6. Do what everyone else is doing and buying what they are without doing your homework

Investing Do’s

1. Up your financial education by reading books by the masters
2. Understand your risk tolerance
3. Save and always have some cash on hand
4. Welcome down markets to buy dividend stocks
5. Use up markets to sell some of your laggards
6. Always think of your portfolio as long term investments

Knowing a lot of this stuff now helps keep me on track. You never know what the future holds.
We can all die tomorrow.

Have fun, enjoy yourself and if you have a good year, sell a little bit and
reward yourself and take a nice holiday.

It’s important to think of the future but just as important to have a life and make it fun.

After your portfolio is set up benign neglect will help it grow.

Looking at it every day will cause you to get too emotional about what you own.
Trust your instincts and go live your life.

I like cats too.

Related Post: Buy For the Dividends
Recommended Reading: The Single Best Investment