More time in the market puts more money in your pocket! That’s how market time grows money for you. Using time well certainly applies to investing. Wise investors know that you get out what you put in, plus more, often much more when investing well!
Money strategies – planning & managing wealth, Lesson 5, teaches an important investing basic, more time in the market puts more money in your pocket. Stay the course, stay invested rather than jumping in an out of the market to grow wealth. Links at the lesson end guide you to related content to learn more.
What’s in this lesson for me?
By knowing the importance of time in the market instead of trading in and out can dramatically improve your investing results. Applying that to your investing will keep your money working for you.
More time in equals more money out!
When you make the effort, the market delivers significant rewards.
Take Time To Add To Your Returns
Even if you do not want to actually manage your own portfolio as a do-it-yourself investor, educating yourself about investing can significantly improve your returns. This happens because an informed and knowledgeable client is a better client. Financial advisers can deliver more value and opportunities to informed, knowledgeable clients.
Knowledge makes any client of a financial adviser better because it is easier to help informed clients make more investing progress. Being a better client is the fastest way to better returns. This especially applies to someone at the earliest stages of investing knowledge.
It also applies to someone unable or not inclined to devote more than the least time to investing. To be considered one of the best clients by your adviser, become an informed investor. Knowledge lets you find and see the best opportunities and gets you prompt attention. The best clients get the best service and the best results.
The most desirable clients of an adviser are knowledgeable as well as willing and able to make decisions. Advisers see them as most responsive to the ideas and suggestions.
Informing yourself about markets is like learning how to use a compass. With knowledge you will develop your own market compass. Your knowledge compass will give critical information on the market direction and opportunity. Knowing helps you understand the direction and action you need to take to reach your investing goals.
One hour a week
Anyone that has one hour a week for investing should use that time do a some basic things. Naturally you will want to read the White Top View blog! Also you need be aware of news events that impact our world and investments.
Then, when you take an hour a week to check your portfolio begin by understanding what you own. Take the time to understand each stock, ETF, bond or fund you own. Get to really know what it is. Be able to explain it to a six-year-old of to your sharp grandmother. Investigate until to know what each company. Learn the percentage of your portfolio invested in each position.
Answer three questions
What does the company do? Be able to explain and understand what the company does.
Why are you invested in this company? Be sure there is a good reason to be a shareholder.
What do you expect from this company during the next year? Make sure your expectations are realistic and reasonable.
Check out the investor presentation
Use Google to search for the website for each company. Use their website to learn about the company. Most corporate websites have an investors section, tab or link. Go there. Review what they say in their ‘Investor Presentation’.
Typical investor presentations include slide or video background presentations on the company operations. Most are well done and present the company well. For the time being we accept the optimism; our critical thinking comes later.
Generally company presentations point to the ever better outlook. We hope to see a nice chart showing a rising stock price! At least we hope the price is going up and not down!
Take a step at a time, an hour at a time
There many more things that we can do to look at a company. We will cover those specifics in future discussions. For now work your way through your list of companies one by one. Take a step at a time, an hour at a time.
Be patient and satisfied to learn one thing at a time. By using this approach you are taking a solid first step to understanding each investment in your portfolio. Week by week, keep at it and your understanding and knowledge will grow.
At this stage don’t be too concerned about achieving a full or complete understanding. This is a long journey. Make it a pleasant and enjoyable tour. Once your hour is up put your work away.
The next week when you have another hour, return and do the same again. Do an introductory review of the next company on your list. In a few weeks you will be more comfortable and able to understand each company as you add to your portfolio.
Why this lesson matters
Time is money especially time in the market. An essential to investing success is getting your money to work. The more time it has to work for you, the more your wealth grows. Do all you can to get more money working longer for you. That will build your wealth.
Takeaways from lesson 5, Market time grows money, includes:
Investing strategies taking profits challenges many investors. Best results come from letting winners run while selling losers to buy more winners.
- Become a better investor by knowing when to take profits.
- Let winners run when markets are rising.
- Don’t fall into the fear trap that makes you sell too soon.
- Think like the wise merchant the buys more winners.
- Sell your losers and buy more winners.
- Be exceptional – take the full ride with your winners.
- Trim the weeds, water the flowers.
- Take the lesson on portion control.
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Make money work for you
Use White Top Investor lessons to learn investing. Then, grow into a knowledgeable, comfortable and confident investor. In fact, you can learn investing one small step at a time at your own pace. Do that and become the master of your financial security and independence. White top Investor never sells or shares our email list. Learn more.
Money strategies, lesson links:
Introduction to Money Strategies – Planning & Managing Wealth
Lesson 1
Investors and traders ride growth
Lesson 2
8 Big money matters
Lesson 3
Nelson Mandela touched investors
Lesson 4
Market time grows money
Lesson 5
Stock market dip opportunities
Lesson 6
Investing strategies taking profits
Lesson 7
5 Money making strategies
Lesson 8
Investors can deposit and WAIT!
Lesson 9
Change moves markets forward
Lesson 10
ETF Revolution changes investing
Lesson 11
Benjamin Graham market mix
Lesson 12
Next lesson 6
Stock market dip opportunities happen when stock prices fall in market corrections or dips. These are opportunities to take advantage of stocks available at sale prices! Investors with their research done can then buy excellent stocks before the opportunity passes.
Have a prosperous investor day!
Bryan
White Top Investor
[email protected] WhiteTopInvestor.com
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