Many people would look at the title, safe investing on the stock market, and think that is impossible. There is no such thing as safe investing when it comes to the stock market.
I mean, come on, you can’t open a paper, watch the news or talk about stock market investing without someone telling you how dangerous it can be. Even the fine print says so on the t.v. commercials.
Recently, I have decided I wanted to find out for myself and start investing in the stock market so I started to do some research. I wanted to know if safe investing on the stock market was really possible. If it isn’t how come so many people make so much money?
True, there are a lot more that don’t make money and actually lose money, but there are those that make huge amounts of money over and over again. And, since I don’t believe in luck, I figured those people must know something the rest of us don’t.
So, I set out to find out what those successful investors did that so few other people did.
In this article I will give you a brief overview of what sets some of the top investors apart from the majority. What traits allow them to make money consistently and what you can change so you make money too.
Here are just a few things to ponder:
1. A few of the top investors that I have studied don’t rely on the information that the «talking heads» provide them.
Instead they tend to swim against the current and do things contrary to what the so called experts are advising the masses to do.
They have developed their own criteria of factors they look for before they invest in a certain stock and they don’t deviate from that criteria… ever.
2. They are extremely risk adverse. They will not deviate from the criteria they have established no matter how «great» an investment appears to be.
3. They are in it for the long term but they don’t keep putting good money after bad. If they find that there aren’t any good investments that meet their criteria at a certain time, they will move their assets out of the market until there are more buying opportunities.
In short, they are getting out of the market right as the majority of people are getting in. They tend to «bargain hunt» but if they can’t find a bargain, they just wait until they do.
There are many successful investors around today. Each of them has their own unique criteria that they are looking for when they consider buying a stock.
Find one of these investors and than learn as much as you can about the things they look for in a given company before they will actually buy that stock.
Then emulate them. Why not «copy» someone who has a track record of winning? Why take advice from someone who works for a company and only gets paid on commission when they convince one of their customers to buy or sell a certain stock?
If someone isn’t good enough to live off their own investments, why would you trust them to guide you with yours? Following these tips can make safe investing on the stock market a reality for you too.