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Thinking about investing? Think about this


People like to be safe and in many cases, they like to be able to predict things at least to a minimum. At the same time they want to make a profit; As much as possible. And unfortunately high profits are often accompanied by high risk. Feel the dilemma here? Of course, a solution to this dilemma is to simply put your money into savings accounts, gather a little interest and just relax. If this sounds good to you, well, good for you, but do not bother reading the rest of this article.

Meaning that if you are reading this you may not be happy with the results from today's savings account and you want to make your money work just a little harder. for you. But you still want to minimize your uncertainty right? Let me give you a guess with a very high degree of certainty. If you invest in the stock market, you will inevitably:

– Make money some times

– lose money some times

That should at least include the uncertainty factor. Perhaps this seems a bit simple and if so, well, it should. Because the point I'm trying to make is very simple. You just can not make money each time you make a transaction. Even Warren Buffet did not make much money for the investments he had. The best investors and traders in the world lose money to a certain number of their trades. So do not be too hung up when it happens to you. Fortunately it is difficult to lose money every time you invest. Maybe you can find some people claiming they lost on all the investments they have made, but most likely they do not tell you the truth. Even if they were making money on some of their deals. However they can re-invest money in other stocks that result in losing money. It is very similar to the boys sitting at the gambling machines. After playing for a while, the machine starts chucking off a whole bunch of money leading to a nice profit. But instead of calling it a day and taking his money home, he simply keeps money on the machine until the last penny. Then he came home hoping that luck never came his way. It is important to face the reality of losing some money over time and have to accept with that. "

This does not mean that you will feel stable every time you lose money. Your goal should always be to make a profit. Just be aware of the fact that you can not actually expect to make a profit every single time. This will alleviate some of the fears of failure, since losing money does not mean you have failed as an investor. Many never start because they are afraid of losing money. And if they lose money, they feel they have failed and withdrawn from the stock market in its realm, never again.

If this has not happened to you, look around. Do you remember a time when either a college or a relative regularly informed you about their investments? Just each time you bump into them, they will tell you how good their stock did and their profits did. And then, suddenly, they completely abandoned the topic. You never hear them talk about it again. And if anyone asks them how their stock is doing, they may be embarrassing something that can not be heard or say a few defensive statements. What happened? They lose money and withdraw from the market. They gave up the basic, and in doing so, they have lost. Not because they lose money, because they are brave. If you want to be a successful investor, you can not be so. Give up may appear in your mind when things do not seem to go your way, but you never have to endure it. When it comes to success in investing your attitude is more important than your knowledge, like in many other areas of your life. Now, I'm not saying that you do not need knowledge. You should try to learn about investing, at least enough to get a basic understanding of how the stock market works. I also did not say that it is a fool and not learn from your mistakes. You should learn from them, as much as possible. Just realize that you are not 100% right and as long as you are investing in stocks, you will not be able to prevent mistakes.

So before you put money into the stock market, or other investments for that matter, remember this: You will win some and you will lose some.

Source by Eri Rahman

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