A Few Things To Keep In Mind When Investing

Updated: Nov 5

Whether someone has been a long-time investor or is just getting started, there are a number of rules to reflect on that can help create the right mindset and keep one focused. Many investors let emotions lead them down the wrong path with their investments. It can be hard to let go of feelings of fear and greed. Here are a few tips to consider that may help get the right perspective.



Think long-term

  • Investing is like a marathon, not a sprint. Don’t have unrealistic expectations for short-term returns.

  • Don’t invest money that you can’t afford to lose. All investing has risk.

  • Keep at least a three to six month emergency fund, so when “life happens” you are not forced to sell your investments. Not having an emergency fund can be detrimental if the market is in a downtrend when you make a withdrawal, and give cause to even more anxiety.

  • Buy quality positions and hold them for a long time. Focus on companies that have proven they adapt to varying economic conditions.

  • Don’t buy investments you don’t understand. Do the research and make an informed decision.

  • Stock market volatility is normal. Don’t panic sell! If you own quality positions with a good outlook, it’s time to do the opposite and buy more shares.


Be prepared


As mentioned above, having an emergency fund is key. The last thing an investor would want to do is have to pull there money out just a few months or even a couple years down the road. In addition, if invested money is in a retirement account, there is usually a 10% penalty plus tax on the withdrawal as well. It is easier to stomach a down market knowing you have a reserve fund.


Investing in the stock market (which represents business ownership) remains one of the best ways to get a return on invested money. Many want to get started but feel they don’t have enough knowledge. Having a professional manage your account can give you the confidence to get started and give you the time to focus on doing the things in life you’d rather be doing. Feel free to contact us to discuss this more for you personally.


Content in this material is for general information only and is not intended to provide specific advice or recommendations for any individual. The economic forecasts set forth may not develop as predicted and there can be no guarantee that strategies promoted will be successful. Investing involves risk and you may lose your principal.

DISCLOSURE STATEMENT

Concinnus Financial Inc. is a registered investment adviser in the state of Idaho and Washington. The adviser may not transact business in states where it is not appropriately registered or exempt from registration. Individualized responses to persons that involve either the effecting of transactions in securities or the rendering of personalized investment advice for compensation will not be made without registration or exemption.

CONCINNUS FINANCIAL

Based in the Spokane and
Coeur d'Alene area. 
Washington

Phone - 509.220.1895
Idaho Phone - 208.755.9430

©2020 - Concinnus Financial