Don’t let your emotions guide your investing choices.
If you’re new to investing, it can be VERY tempting to check your stock portfolio all the time. It might feel like you’re being a good investor for keeping a close eye on your stocks, but this is actually counter-productive to long-term investing. It can create unnecessary anxiety if your portfolio momentarily drops in value. At worst, you can end up panic buying/selling during market downturns and incur significant losses.
If you’re a beginner to investing in individual stocks:
> Set up a proper asset allocation plan or use a roboadvisor to guide you.
> Do proper research on SeekingAlpha.com or Koyfin and set 5 to 10-year long-term price targets.
> Sit with the stocks you buy and don’t sell too early or you’ll lose the long-term price appreciation of these amazing companies.
If you panic-sold during the bottom of the market this year and then never dipped back in because you were afraid, you likely lost money twice: once from selling at a loss and then again when you missed out on the rebound and the long-term gains for most disruptive tech stocks.
Managing your emotions, especially fear and anxiety, is a big part of investing.
#HeelsandYield #HolisticWealth
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