What we can learn about the Bitcoin sell-off and disciplined investing?
If we don't learn from history, we will continue to make the same mistakes...
What is the story you're telling yourself about this discovery?
It's fascinating how the principles of investing in digital and traditional assets continue to be ignored.
Buy and hold investors turn into market timers and market timers. And, we know that market timing doesn't work. Therefore the question is, how do you invest for the long term more effectively.
When investors have a plan, when they don't become market timers, history becomes an asset, not a liability. And, the disciplined investor often does better than the market timer who got it right in the first place.
Successful investing requires discipline. No discipline no reward.
So what exactly is a disciplined investor?
We news to develop some systems and strategies that can improve your chances of success in any market condition.
So, what are these systems?
If you use a financial advisor use a fiduciary
Create a blueprint or a map you can follow in any situation
Rebalance the portfolio in good and bad times
Whenever possible and applicable use DCA (Dollar Cost Averaging)
Emotions are investors' #1 enemy.
The media is enemy #2.
Lack of knowledge of industry #3.
Ans, last but not least, your advisor could be #4.
It's overwhelming, I know. And, for an advisor that cares for his people, it's equally overwhelming. It's to ease some of this frustration the reason I became an educator.
So, evaluate these 4 points carefully, and measure your confidence level in each.
If you want more details, tune in to today's podcast.
I will be unpacking the principles of successful investing in volatile markets.
Stocks, bonds, and bitcoin are not the problem. It's the obscure principles and lack of education that continue to hurt investors.
I needed the education to navigate the industry as an advisor, and I had to learn from painful experiences. If my experience can alleviate or eliminate one person's pain, my effort is worth it.
Be a source of quality transparent education.