The stock market can be a dangerous place. Many investors think they are knowledgeable enough to play the market without proper education on the subject. Would you walk into a casino, sit down at the Texas hold’em table and wager your entire life savings without understanding the game first? I don’t think so.
Although Pride Wealth Strategies is dedicated to helping people learn about the market, sometimes people just can’t grasp it. That’s nothing to be ashamed of. I possess zero knowledge of cars and limited knowledge of technology, so when I don’t understand how to do something, I turn to an expert who does. I encourage people to do the same when it comes to their finances.
Don’t take a chance and risk your hard-earned money by throwing darts at a board and picking stocks or investments you know nothing about. There is a famous scene in the movie Wall Street, where Michael Douglas who plays the infamous Gordon Gekko, says: “I don’t throw darts at a board,” when referencing companies he wants to acquire. You should listen to this advice too!
Seek out a professional who you trust and who’s vision and goals align with your own. For example, you shouldn’t invest in high-flying growth stocks if you are approaching retirement and may need the money in the next 5 years. If these stocks tank, you will have limited time to make your money back. Instead, look for an advisor who demonstrates a clear value/income approach to investing. This person should be pushing you towards mutual funds, ETFs or individual stocks that have strong balance sheets and a steady dividend. They may not be the headline-making stocks of today like Draft Kings or Beyond Meat, but at least you know they are great investments and will provide some income.
Remember, this is a race, not a sprint. Focus on the long-term, not on making a quick buck. I promise you’ll be glad you did.