This is where you must start if you want to be successful in investing.
This is before you learn anything technical or even do any research!
There are 2 things that I think need to happen first, but I see don’t happen most of the time.
- You need a specific aim/goal for your money.
- You need a specific aim and once the goal is reached, you still need a specific aim – or refreshed focus for your money.
So, in other words, you need to be crystal clear as to your ‘why’ at all times when investing.
Most people don’t have this, or if they do, their aim is WAY TOO VAGUE and they are setting themselves up for disaster before they even put their money anywhere.
I know this. I’ve done it. Many times – but now I know better!
Before we start talking about aim complacency, I need to talk about aim confusion.
Aim confusion comes first before you even have achieved your goal.
You have to know your end goal.
You have to know your why.
You have to know your purpose.
If you don’t, then you are about as good as a ship without a rudder and all the millions of metaphors I could use right now.
And yes, that’s harsh, but you want to make money, right?
So, get serious about it and pick the end in mind.
You have to know your end point!
You can change it along the way, but you need to start with a goal or you are not going anywhere fast.
I’ve been watching clients invest for 20 years now and I can tell you this, anyone who knows exactly what they want, even if it’s 45 years down the road, has more success with their investment accounts than those trying to accumulate ‘as much as they can’ without specifics or planning for a vague word like ‘retirement’.
I can’t explain most of this phenomenon (I can explain some of it, but there’s definitely some unseen aspect to it!) except for the fact that some clients were so specific in their goals and others weren’t, and yet lots of them were in the exact same investment!
That’s the biggest difference between the 2 groups of clients. I’ve asked my colleagues as well, most of them agree.
“Accumulate as much as you can” is an arbitrary thing.
The money gods don’t like that. I joke, but it’s true. The universe, nature – GOD wants to give you what your hearts desire, but when you are vague, the universe will deliver you a bowl of mixed-nuts and like only 2 macadamia nuts in the whole bowl. Ughhhh……
That never works.
What do you want the money for?
What do you want this specific pot of money, this investment account for?
Even if you say $1,000,000 for retirement (whoever came up with that amount?!) is better than just saying you want your money to grow.
Money is energy.
That energy needs to be put to work in a specific way otherwise it will manifest itself out in crazy ways!
Direct the energy and money will follow that route.
Okay, now, you are fair to say, but I can’t control the stock market or any other investment or private equity, etc. etc.
Correct, that is outside of your control.
However, this is where the magic happens.
You make your plans, set your goals and providence moves with you.
I’m not going to explain it – because I can’t – maybe some quantum physics scientist hottie can, but this is where faith comes into play.
Set it and hold your intentions.
Yes, there will be ups and downs and market corrections, but when you hold the space for exactly what you want, life has a funny way of giving you exactly that.
You need to be in control of the aim.
You need to keep your aim ahead of you at all times.
Aim confusion will be your downfall when it comes to successful investing – especially if you go chasing returns or the “hottest” stock!
Buying stocks? You need to take the emotion out of it and determine your end point before you even buy the company in the first place.
I’ve seen so many people say, “oh, I’ll just ride it all the way up” and usually end up losing money. We humans are very good at emotional ties, FOMO, and when it comes to our money, that’s all amplified.
You are rarely going to get the timing right when buying and selling stocks or anything to be sure!
If you are planning for retirement, you will have to set a goal for an amount you wish to have as a monthly income in retirement and then figure out how big that pot of money needs to be when you want to retire, make sure to take into account inflation and work the numbers backwards. (If you need help, talk to a financial planner.)
Make sure you don’t have AIM CONFUSION in regards to your investments.
Now, aim complacency is aim confusion’s wicked annoyingly rich step-sister.
AIM COMPLACENCY is when you are all smug that you did “well” with your investments, or that your investment accounts are all “up” in value and you think it’s time to coast or that you hit the last decade of growth in the stock market and think that this is going to happen for the next 10 years and beyond!
You have jumped on the 1980s yacht, it’s sailing, the martini’s are flowing freely and you think you have arrived but you don’t see that soon you will be lost at sea because the captain is on his 10th martini as well, and being distracted by beautiful women.
Don’t be on that boat! It’s like Gilligan’s Island all over again!
Complacency when things have gone well for a long time is awesome, however we tend to go on autopilot and then forget that things can go wrong.
I’m not saying they will, I’m saying we get off course one or two degrees and then the reality is that we are really off course and need to re-align.
The big thing that happens in investing is that people do well (meaning their account value on paper is up!) with a fund or stock.
Then they sit on it.
And sit on it.
And sit on it.
And greed sets in.
You made money, now take it and move it to something else.
Or at least re-assess the situation and set a new fresh goal around that investment holding that you have.
Lots of people lose money when greed sets in – sure fire recipe for disaster!
Again, we are back to the AIM.
Make sure you have a new aim once you have reached your goal!
This is important.
I think the other big problem for all investing is when the emotion of greed gets in the way.
And I’m not even talking the BIG OBVIOUS GREED you can see a mile away, but the subtle, soft greed that’s just enough to block you from receiving! (Yes, a money block!)
You have got to get over your AIM CONFUSION & AIM COMPLACENCY and just focus on the aim then release the outcome.
(All the same stuff/energy work/tools that work in the rest of your life – like weight loss, health restoration, romance, relationships, etc – all work the same way for your money!)
Hey, investing is never going to be perfect – get over that! It’s never going to do you any good if you are constantly worried over it.
Live Your Legacy!
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