If you want to succeed in the markets, long-term that is, then you need an Investment Philosophy. Floating around the stock market without a guiding belief, an idea of what you want to achieve, or a plan is like walking through a casino and “dabbling” at a table.
A lot of investors just “wing it” especially earlier on in their journey. Even seasoned investors who have “played” the markets for years would have had better returns dollar-cost averaging into an index fund that entire time, often the result of not having a guiding philosophy.
Have an Investment Philosophy and try to follow it.
Walter Schloss
If you want to succeed in the stock market, there is only so long you can “make it up as you plot along”. A lot of investors do conclude usually after a couple of sub-par years in the market that there must be a better way. They start to think “Why do I want to Invest?” which raises more questions such as, “What do I want to own?” or perhaps “What Investment style should I use?”
Those investors who are serious and want to create better returns, who also have the passion and curiosity to stay the course long-term, should start with their Investment Philosophy. This component of the blog will help you shape your own beliefs to form a Philosophy and a strategy to put to work.
