home  RSS feed    

Why Investing is Not a Get Rich Quick Scheme

by Bruno Deshayes on 05 May 2016 permalink
You wouldn't pull out a seed you just buried in a pot to see how the roots are doing. You keep watering it with tender loving care. Then the first stem and green leaf show up to confirm it is working. You should do the same when you put your money out to work.

There are many parallels to be drawn between investing and agriculture. The same principles apply to both.

Returns are a function of time
Regardless of the prevailing mood people still need to buy food, petrol for their car, clothes to wear, etc... Invest in those industries because there will always be a demand for these products.

Impatience is your downfall
How many times have you heard of someone pulling out of the market with a loss in a panic attack? Six months later the price of their stock finished 20% higher than their purchase price.

Risk is part of the equation
The knowledge of the future does not belong to us. But one thing we know. If you don't plant seeds there is no harvest. If you're not in the market there are no profits. In fact you could say that the only reason you ought to make a profit is for your ability to handle risk. By buying shares you provide liquidity into the market and allow businesses to raise capital.

Invest in an industry where you are knowledgeable
A farmer doesn't pick a crop at random but knows the intimate details of each plant he grows. Likewise you need to know the drivers behind a company. You need to have contacts with people who work there to corroborate whatever news or rumour is doing the rounds.

Do not confuse investing with speculating
In fact there is a fine line between speculating and gambling. It is manageable to pick a reliable trend over weeks and months but if you go hour by hour like a day trader you are in a fog.

Take responsibility for your investments
Do not hand over your life savings to some manager to do the work for you. That's the only way you will learn something out of the experience. The one who has built the expertise deserves the profit - not the bystander.

Go for companies that pay dividends
Capital growth is good but if the business is sound they should pass on some of the profits without you having to sell your shares. Check the track record on dividend payouts and compare companies with each other in that regard.

Cast your bread upon the waters, for after many days you will find it again.


   SEARCH

RECENT ARTICLES

5 Things Women Are Looking For In A Man
Growth Industries Forecast
Leave your past where it belongs and bring your future into existence
Control Your Thoughts Or Your Thoughts Will Control You
Some handy one-liners to entertain your guests
When will you learn to speak your partner's emotional language?
Wedding Speech
Sorry That I Exist
Predicting the Future - Four Tips to Hone Your Intuitive Skills
Can You Coach Yourself?
Driving in Russia is a demolition derby
No cause for conCERN
Have you found a good reason to do life together?
The Phenomenon Of Thrill-Seeking Sports
Will you be left behind?
I want to finish well
Fools Falling In Love 101
Connoisseur of French Idioms
The renaissance of the IT specialist
One-man band better than a conglomerate?
Sardines & Banana Sandwich
Cyberspace investigations
Fabric of society falling apart
Farming body parts and more
Your privacy out the window
Social media going full circle
More oneliners, please
How not to take offence
There is a smell in the air...
Transmuting matters
Love your neighbour as yourself
Emotional Abuse Exposed
Neuro-linguistic programming exposed
Remember to laugh - it's good for you
Life with the Poatinians
Laugh your head off
Me myself and I - welcome to the world of loneliness
Where do you belong?
Disrespectful wives and unloving husbands
Most dangerous prayer
Laugh on me
Global obesity a threat to mankind
Burning the candle at both ends?
Stockbrokers as spin doctors
Tickle my funny bone
Finding the most searched long tail keywords in your market niche
Why is trading such a mind game?
QR codes
Manufacturing comes home with 3D printing
Cyberspace Mobility
Marketing Plan With Potential to Go Viral
Tale of the Farmer and the Share Trader
The eBook Debacle
Why Investing is Not a Get Rich Quick Scheme
Gamblers, Speculators and Investors
Capital raising for the masses
The end is nigh
How good it is to do nothing when all else is busy around
Can you ever trust your favourite brand?
How to negotiate for a win-win outcome
Interrupters interrupted
Starting Your Own Home Based Business
Social media makes us autistic cyberpunks
Stock market versus real estate
Do you believe in superannuation?
Politically Incorrect Rubberneckers
Desperate for purpose and significance
Only trade money you can afford to lose
Bad press for social media
Loving my enemies up close
Smile at the drone - you might be on live camera

TAG CLOUD

scifi abuse action advertising astro travel betrayal birthrate bitterness bluff bullying business camera career caring challenge choices cloud coaching community connection consultant copyright crowd funding cuisine cybercrime design destiny diet disciple driving eBook emotions end entertainment equities events facebook family fax machine final food forecast forgiveness french friends fulfilment future gambling gender gender issues global GM food group guidance health home office human genome humour hunch hypnosis idiom insider investigation investing jokes keyword language laugh lifestyle litigation loneliness long tail lose love manufacture marketing marriage media mobility negotiation neighbor obstacle offense outsourcing past PC issues peace pity poker prayer privacy production race rapture reading real-estate relationship relaxation research rest retirement rich quick scheme risk satire Sci-Fi science search security self control selfhelp selling skills social social media society speculating spin sport spy stem cell stockbroker superannuation thrill time management trading trend tribulation unrest viral vision volunteer vows war win

eBOOKs

BrunoDeshayes.pdf
BrunoDeshayes.epub

MAIN COPYWRITING SITE

Bruno Deshayes


copywriting for a living

BLOGROLL

copywriting wiki

BLOGS FROM SAME PUBLISHER

Resume Digest job hunting
Trading Pal share trading
Wise Accounts online accounting
Aptitude Tests skills and knowledge
Goal Setter life coaching
Social Buzz what matters to us
Photo Exhibition photo artistry
Log Book customer relation management
Witness for Christ Christian faith
Bread Of Life support network
  powered by MooChoo    mobile view