Invest to Financial Freedom - 5 Tips to prepare yourself for Risk? Tips 5
The Best Way to Understand this site is subscribe the RSS or Email Updates.
Welcome back. Today I’m going to share with you the tip number 4 of 5 tips to prepare yourself for investment risk. Here is the tip number 1, number 2, http://www.finandom.com/blog/2006/01/23/invest-to-financial-freedom-5-tips-to-prepare-yourself-for-risk-tips-3/ and number 4
Tip number 5: Take good care on 3 unexpected factors
Today is the last part for my post of “5 Tips to prepare yourself for riskâ€Â. So I make a conclusion on the right procedure that you should care about before you invest.
First of all, you do all the research and learn A to Z of the investment. Then you do all the preparation that you should do ( Those that I mention in my tip 2). Since, now, you have the great idea on the investment, and then you should have the ability to process and make your own strategy to invest and use the benefits of the investment options that you can get. You think all the things you do is complete and the investment is 100% safe and profitable. However, I means sometimes life is not that easy, you still have the risk to lost money. Why?
When comes to investment, there are a lot of factors that outside our prediction, here is 3 that I want to share:
-
1. Human Factors - When comes to money, there are a lot of party involved. So as your investments. For example, you invest in a stock and you know the price will raise. However, because of a mistake that made by the CEO, the stock price is going down unexpected. So this considered human factors.
2. Timing - Timing is very important for investing. When you want to invest and at what level you must exit and take the profit. This is what we always call entry and exit level. If you enter the market or exit at the wrong timing, you probably will drop down the profit or even lost in the investment.
3. Yourself - Yes, yourself is the biggest unexpected factor. Sometimes, our emotion is the hardest to control. When comes to money, we always bring along our emotion. And the funny thing is, emotion does always affect our decision making. Even you have your own investing plan or strategy, because of your emotion you will forget the plan and make your wrong decision. I experienced this before!
PS: If you have any new suggestion, you are always welcome to give comment on this to add more tips.
Anyway we are not a god, so sometime there are a lot of thing that we can control. But 1 thing I believe and this is also what I learnt from my mentor - Experience will train you up and make your prediction and decision more accurate!
Some Related Posts
Invest to Financial Freedom - 5 Tips to prepare yourself for Risk? Tips 4Invest to Financial Freedom - 5 Tips to prepare yourself for Risk? Tips 2Invest to Financial Freedom - 5 Tips to prepare yourself for Investment Risk?Can't Find What You are Looking for? Try Google Search
 |
   
|
Comments
Leave a Reply