Hot Features
Premium
Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.
The amateur investor should develop their own particular method of investing, a tried and proven investment strategy that suits them, and should stick with it, ignoring transitory but probably insubstantial trends in the stock market.
There will be occasions when the temptation to act rashly is overwhelming, but strength of character is needed here. Losses within the chosen strategy have to be tolerated; they are bound to occur and must be accepted, and should not cause the investor to be panicked into buying or selling unnecessarily.
Remaining consistent and faithful to a strategy will minimize losses and maximize long-term profitability.
As Peter Lynch says, in some years you will make a 30 percent return, but there will be other years when you’ll only make 2 percent, or even lose 20 percent.
That is way things are in the stock market, and you have to learn to accept it.
If you raise your expectations such that you are looking to make 30 percent year after year, the end result will be frustration with shares for defying you. Impatience will follow, which may cause …To read more subscribe to my premium newsletter Deep Value Shares – click here http://newsletters.advfn.com/deepvalueshares/subscribe-1
