Investing Gems and Recommendations From Top Market Mavens

Advisor November 23, 2020

If you want to grow your wealth over the long term, stock investment is one of the best ways to do so. However, this can be complicated and stressful to get into. On the plus side, investing is now more accessible than ever before.

Years ago, you had to work with stockbrokers who rarely had your best interest in mind and charged heavy fees to handle your investments. Today, anyone can start investing with just a few dollars, and thanks to the internet, you have a wealth of investing information at your fingertips.

Shutterstock | Now you can manage your stocks from the comfort of your home

When it comes to investing, people often say that the proven fundamentals of investing have not changed in decades. If you follow the rules that successful investment mavens have laid out, you have a good chance of success, too.

So, we’ve gathered some essential pieces of advice to guide you through your investment journey.

1. Patience is key

The hardest part and most crucial element in the tricky game of investing is developing active patience. Jan Kassel, a microcap investor, defines active patience as paying your due diligence to verify your stock market beliefs. Also, when there’s nothing to do, just remain steadfast in your belief that your hard work will pay off.

Shutterstock | Patience is the true characteristic of a good investor

2. When searching for security

In the search for safer options for investing in equities, many investors opt for high dividend stocks. However, Aveek Mitra, founder of Aveksat Equity, believes that high dividend stocks are unfavorable investment choices in a growing economy, especially India. Mitra also believes that if you want to hedge some of your capital, you should invest that amount off the market. For stocks, you should only be investing the money that you want to grow, he added.

3. Greed will ruin you

Many traders who switch to fixed income products are frustrated by low-interest rates and often wonder what to do. CEO of Edelweiss Mutual Fund, Radika Gupta, proposes a very simple solution. She does not defend other asset classes, instead she suggests that when such an instance occurs, you must accept the reality and not get greedy.

Shutterstock | Even a low-interest rate is a win

4. Think for yourself

Jan Kassel also believes that if you are looking for above-average earnings, the only way is to think outside the box and make your own decisions. At this point in time, commentary from so-called financial experts will do you no good.

5. Your convictions won’t let you down

Jan Kassel and Sandeep Sabharwal, an independent market expert, believe in the power of good research and claim that it always pays off. If you go to any seasoned trader, this is the first piece of advice that you’ll get. Nothing can beat your gut feeling after you’ve done your fair share of research.

Summing It Up

Your input and convictions are very important when you’re trying to make it big in the investment world. Following every single investment moves of seasoned experts will only get you so far. You have also to learn to rely on yourself sometimes.