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8 Common Mistakes That Every New Investor Needs To Avoid - Investment (2) - Nairaland

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Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Offpoint1: 12:06pm On Jan 03, 2021
Typing
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by LEXYCOM: 12:15pm On Jan 03, 2021
I have always wanted to understand this bitcoin.

Can u plz explain to me what it all about in a lay man language. Thanks

quote author=hellohgy post=97674174]One advice I will give anybody planning to invest this year is to try as much as possible to invest in CRYTOCURRENCY.


Bitcoin is currently at 33k dollars, and it is still pumping.

In fact financial specialist predict BTC hitting 100k dollars this year.

imagine if you had bought BTC at 20k dollars.....


There is never a late time to enter the crypto market.


Crypto currency is the way...[/quote]
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by 2O22(m): 12:16pm On Jan 03, 2021
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Re: 8 Common Mistakes That Every New Investor Needs To Avoid by xxxXXXxxx: 12:31pm On Jan 03, 2021
A very informative post.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by alexvatt(m): 12:38pm On Jan 03, 2021
Invest in Forex and Binary Options Trading, and get 5% return on investment, guarantee. No scam please. No delay in payment. And it is continuous. Kindly WhatsApp me for details.

Say No To Ponzi Scheme.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by doeeyed: 12:39pm On Jan 03, 2021
newbox3030:
One of the most interesting sectors of industry today is investment. This is the application of capital in a commercial process expecting to get a return. A person who engages in this type of activity is known as an investor. After performing some fundamental research, they commit their money into investments of various kinds expecting to make a profit. Examples of industries where they commit their capital include real estate, the stock market, the commodities market and the precious metals market. Some investors build fortunes and others fail in their ventures. The difference between these is that the winners make as few mistakes as possible while the losers' mistakes destroy their careers. Are you looking to enter this industry? Here are 8 mistakes that every investor makes. Learn them and prepare yourself to avoid them.

Having no plan

If you have no idea where you are going, any road will get you there. Many investors make the mistake of entering the investment industry without a plan for their activities. This results in complete failure or underperformance. If you want to enter the investment industry, you should have a comprehensive plan. Ensure that your plan identifies and explains your objectives and goals. It should also cover the risk that you are involved in as well as the benchmarks that you expect to achieve. Your plan should also indicate how you expect to allocate the assets in your portfolio. It should also indicate if you plan to diversify or not. With this kind of plan, you will be ready to invest and succeed in it.

Mismatching your asset allocation and your investment approach

Many investors enter the market while their investment approaches and asset allocations are mismatched. There are generally two approaches to investing. These are the long and the short term. The approach that an investor picks is determined by their objective. Those who are investing for retirement pick a long term approach while those who are looking for a quick profit use a short term approach. The one that you pick determines how you allocate your assets. Many investors pick long term assets vehicles expecting a quick profit. This is a mismatch that results in failure. Therefore, an investor should match their asset allocation to their investment time horizon.

Focusing too much on the financial news

Contrary to popular belief, there is actually very little that is on the financial news that can help you to perform better in investment. Many investors make their decisions based on the news and therefore fail in their endeavors. From a pragmatic perspective, if someone had a way to constantly make a profit in the investment market, would they advertise their strategy and stock picks on television for everyone to watch? Of course they wouldn't. They would simply stay silent and make millions while every other investor suffers. Thus, shut off the financial news and focus on your own investment strategy. Eventually, it will pay off.

Avoiding the activity of rebalancing

Rebalancing is an important activity that you should perform on your investment portfolio. When rebalancing, an investor returns their allocation of assets to the plan that they initially had in their original investment plan. It is a challenging activity to perform. This is because some of the assets that you sell off may actually be performing well. Your core asset classes may also be performing badly and the rebalancing forces you to buy more of them. It may seem like an exercise in futility so average investors do not do it. This results in long term failure. However, if you rebalance, your core investment asset classes can eventually take off and make you a fortune.

Procrastination

This is a very common mistake among investors today. They are unwilling to make investments today instead of tomorrow. It is important to make your investments as soon as possible. This is especially important when it comes to long term investments. Being proactive with your investments allows your capital to grow over time. In addition to that, one needs to make the investments a little every day instead of all at once. This allows for steady growth and eventual profit. Avoid making this mistake by making your daily investment activities automated.

Being impulsive

Part of investment is being patient and holding your position until it pays off. Trends cause some unreliable investments to look attractive for a while. This can distract an investor from their long term positions to make their investment in the short term ones. In most cases, the trends end abruptly and the investor makes a loss. Thus, investors should avoid making this mistake. You should be patient, resilient and hold on to your position and overall strategy. This will result in eventual profits.

Being greedy

Why take a little of something when you can take a lot of it? This is the mantra that majority of investors use when picking stocks. Instead of diversifying their assets, they simply over-invest in one or two hot ones. If these stocks drop in value, the investors whole portfolio tanks. Instead of doing this, one should spread their capital over a wide variety of assets. This protects the portfolio from experiencing losses in case a number of stocks fall.

Trying to time the market

Many investors try to perform their investments according to whether the market is going up or down. They imagine that they are being strategic with these trades. They try to get in and out of the market and score a small profit over a wide variety of stocks. Unfortunately, this rarely or never works. Investment professionals understand that market timing does not work. There is literally no way to time the market such that you make money over its volatile rise and fall. The best way to invest is to have a long term strategy and let your assets survive market volatility. It is already proven that the stock market improves over time. Thus, with a little patience and resilience, an investor can make a handsome profit.

The Important Take Away

Investing, when done properly, can reward you handsomely. Billionaires such as Carl Icahn and Warren Buffet made their fortunes in the investment market. They avoided the mistakes that are indicated above. Therefore, if you want to build your portfolio, learn these mistakes and avoid them too.

Thanks for a very informative summary...

Not quite sure of the rebalancing and timing factors though..

Why sell a cash cow all to aid rebalancing?? Doesn't quite add up if the element of timing is not in use to determine product life cycle and jump ship before an asset becomes a liability.

Please care to deliberate further.


.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by fayomim: 12:45pm On Jan 03, 2021
holuwajobar:


Na 2021 we dy....

Rubbish from 2020 must stop


Take am

You just dey kick people here

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Jaqenhghar: 12:50pm On Jan 03, 2021
newbox3030:
One of the most interesting sectors of industry today is investment. This is the application of capital in a commercial process expecting to get a return. A person who engages in this type of activity is known as an investor. After performing some fundamental research, they commit their money into investments of various kinds expecting to make a profit. Examples of industries where they commit their capital include real estate, the stock market, the commodities market and the precious metals market. Some investors build fortunes and others fail in their ventures. The difference between these is that the winners make as few mistakes as possible while the losers' mistakes destroy their careers. Are you looking to enter this industry? Here are 8 mistakes that every investor makes. Learn them and prepare yourself to avoid them.

Having no plan

If you have no idea where you are going, any road will get you there. Many investors make the mistake of entering the investment industry without a plan for their activities. This results in complete failure or underperformance. If you want to enter the investment industry, you should have a comprehensive plan. Ensure that your plan identifies and explains your objectives and goals. It should also cover the risk that you are involved in as well as the benchmarks that you expect to achieve. Your plan should also indicate how you expect to allocate the assets in your portfolio. It should also indicate if you plan to diversify or not. With this kind of plan, you will be ready to invest and succeed in it.

Mismatching your asset allocation and your investment approach

Many investors enter the market while their investment approaches and asset allocations are mismatched. There are generally two approaches to investing. These are the long and the short term. The approach that an investor picks is determined by their objective. Those who are investing for retirement pick a long term approach while those who are looking for a quick profit use a short term approach. The one that you pick determines how you allocate your assets. Many investors pick long term assets vehicles expecting a quick profit. This is a mismatch that results in failure. Therefore, an investor should match their asset allocation to their investment time horizon.

Focusing too much on the financial news

Contrary to popular belief, there is actually very little that is on the financial news that can help you to perform better in investment. Many investors make their decisions based on the news and therefore fail in their endeavors. From a pragmatic perspective, if someone had a way to constantly make a profit in the investment market, would they advertise their strategy and stock picks on television for everyone to watch? Of course they wouldn't. They would simply stay silent and make millions while every other investor suffers. Thus, shut off the financial news and focus on your own investment strategy. Eventually, it will pay off.

Avoiding the activity of rebalancing

Rebalancing is an important activity that you should perform on your investment portfolio. When rebalancing, an investor returns their allocation of assets to the plan that they initially had in their original investment plan. It is a challenging activity to perform. This is because some of the assets that you sell off may actually be performing well. Your core asset classes may also be performing badly and the rebalancing forces you to buy more of them. It may seem like an exercise in futility so average investors do not do it. This results in long term failure. However, if you rebalance, your core investment asset classes can eventually take off and make you a fortune.

Procrastination

This is a very common mistake among investors today. They are unwilling to make investments today instead of tomorrow. It is important to make your investments as soon as possible. This is especially important when it comes to long term investments. Being proactive with your investments allows your capital to grow over time. In addition to that, one needs to make the investments a little every day instead of all at once. This allows for steady growth and eventual profit. Avoid making this mistake by making your daily investment activities automated.

Being impulsive

Part of investment is being patient and holding your position until it pays off. Trends cause some unreliable investments to look attractive for a while. This can distract an investor from their long term positions to make their investment in the short term ones. In most cases, the trends end abruptly and the investor makes a loss. Thus, investors should avoid making this mistake. You should be patient, resilient and hold on to your position and overall strategy. This will result in eventual profits.

Being greedy

Why take a little of something when you can take a lot of it? This is the mantra that majority of investors use when picking stocks. Instead of diversifying their assets, they simply over-invest in one or two hot ones. If these stocks drop in value, the investors whole portfolio tanks. Instead of doing this, one should spread their capital over a wide variety of assets. This protects the portfolio from experiencing losses in case a number of stocks fall.

Trying to time the market

Many investors try to perform their investments according to whether the market is going up or down. They imagine that they are being strategic with these trades. They try to get in and out of the market and score a small profit over a wide variety of stocks. Unfortunately, this rarely or never works. Investment professionals understand that market timing does not work. There is literally no way to time the market such that you make money over its volatile rise and fall. The best way to invest is to have a long term strategy and let your assets survive market volatility. It is already proven that the stock market improves over time. Thus, with a little patience and resilience, an investor can make a handsome profit.

The Important Take Away

Investing, when done properly, can reward you handsomely. Billionaires such as Carl Icahn and Warren Buffet made their fortunes in the investment market. They avoided the mistakes that are indicated above. Therefore, if you want to build your portfolio, learn these mistakes and avoid them too.
9. As much as possible avoid investing in Niggeria or other unstable societies. Another name for the business environment in that shithole is " here today, gone tomorrow".
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by BabaIbo: 1:02pm On Jan 03, 2021
Go to Alaba, Trade fair(Balogun market), main market and tell them.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by owolabi5: 1:15pm On Jan 03, 2021
HAPPY SUNDAY


CarPapers.com.ng

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Babaj145(m): 1:18pm On Jan 03, 2021
Even after dis post I still dey see Online Scammers for here...dis people nr go rest angry angry

2 Likes

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by moseslarry(m): 1:52pm On Jan 03, 2021
bhouze:
Educative.

I have a concise plan to start piggery this year. I have identified my market and the distribution chain. I have gotten a peice of land for that. Where i am stranded now is how to raise the pen to at least 6ft. Price of cement now is shocked. I can't afford it since i will be needing like 800k to achieve that.

God will see us through.

Compliments bro,
Good to read a line from a fellow. Well, I was introduced to piggery last year during the lockdown period of covid 19, thankfully, I'm happy I met the guy that introduced and equally trained me on the riddlement of rearing pigs. I started with 5, before the end of last year I've gotten 24 animals and this year I'm almost done in completing my pen,even though it engulf quite some amount, the project started during the time of high inflation on the commodities in nigeria, well, I didn't let that deter me from starting the project and I believe I've set this year straight with that investment. May God help me through the business.

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by INTEGRITYA1(m): 1:53pm On Jan 03, 2021
Following.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Foolishbuhari: 1:56pm On Jan 03, 2021
You forgot to add "DON'T INVEST IN NORTHERN NIGERIA"! A power drunk governor could wake up one day and poof your life's work, reduced to rubble over unproven allegations

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by fr4ncesc: 2:03pm On Jan 03, 2021
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Re: 8 Common Mistakes That Every New Investor Needs To Avoid by BLoomfrancs(m): 2:09pm On Jan 03, 2021
hellohgy:
One advice I will give anybody planning to invest this year is to try as much as possible to invest in CRYTOCURRENCY.


Bitcoin is currently at 33k dollars, and it is still pumping.

In fact financial specialist predict BTC hitting 100k dollars this year.

imagine if you had bought BTC at 20k dollars.....


There is never a late time to enter the crypto market.


Crypto currency is the way...

See them.
Always thinking in one direction.
What if it goes down south. Keep decieving yourselves with I am an investor, when in actuality, you are nothing but a sheer gambler.

3 Likes

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by SavageResponse(m): 2:11pm On Jan 03, 2021
alexvatt:
Invest in Forex and Binary Options Trading, and get 5% return on investment, guarantee. No scam please. No delay in payment. And it is continuous. Kindly WhatsApp me for details.

Say No To Ponzi Scheme.

You have not even been bold enough to risk your own money, you're just looking for someone to use as guinea pig angry

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by millionboi2: 2:13pm On Jan 03, 2021
BLoomfrancs:


See them.
Always thinking in one direction.
What if it goes down south. Keep decieving yourselves with I am an investor, when in actuality, you are nothing but a sheer gambler.
Don't mind d guy

BTC dat can drop to 12k within a day
Crypto currency is risky
Ppl money is trapped in XRP

2 Likes

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by emmanuelewumi(m): 2:21pm On Jan 03, 2021
doeeyed:


Thanks for a very informative summary...

Not quite sure of the rebalancing and timing factors though..

Why sell a cash cow all to aid rebalancing?? Doesn't quite add up if the ekementnof timing is not in use to determine life cycle and jump off ship before an asset becomes a liability.

Please care to deliberate further.


.



Na copy and paste.


I hope he will be able to provide an answer

1 Like

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Dliquidmetal(m): 2:21pm On Jan 03, 2021
hellohgy:
One advice I will give anybody planning to invest this year is to try as much as possible to invest in CRYTOCURRENCY.


Bitcoin is currently at 33k dollars, and it is still pumping.

In fact financial specialist predict BTC hitting 100k dollars this year.

imagine if you had bought BTC at 20k dollars.....


There is never a late time to enter the crypto market.


Crypto currency is the way...
my own be say just wait for market to create new lows b4 buying,market wont continue climbing for long lol btc fit still come 20-18k b4 going beyond 40k. I'm patiently waiting for the pullback.

2 Likes

Re: 8 Common Mistakes That Every New Investor Needs To Avoid by awajiebenezer(m): 2:22pm On Jan 03, 2021
Tnx brother
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Kaymaxi2222(m): 2:29pm On Jan 03, 2021
alexvatt:
Invest in Forex and Binary Options Trading, and get 5% return on investment, guarantee. No scam please. No delay in payment. And it is continuous. Kindly WhatsApp me for details.

Say No To Ponzi Scheme.
i have seen you talk about this several times.... How does this works?
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Adakintroy: 2:30pm On Jan 03, 2021
Me ma I just do business. I trust my instincts die. Shea na jungle we de.

Every animal get him own secrete arsenal na me I know.

Financial post ke..

That one be like market for_cast. Take am seriouse at your perile.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Kaymaxi2222(m): 2:33pm On Jan 03, 2021
Dliquidmetal:
my own be say just wait for market to create new lows b4 buying,market wont continue climbing for long lol btc fit still come 20-18k b4 going beyond 40k. I'm patiently waiting for the pullback.
same here bro I know btc is still going to have pull back i just pray I don't miss it before it picks again
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Kaymaxi2222(m): 2:33pm On Jan 03, 2021
Dliquidmetal:
my own be say just wait for market to create new lows b4 buying,market wont continue climbing for long lol btc fit still come 20-18k b4 going beyond 40k. I'm patiently waiting for the pullback.
same here bro I know btc is still going to have pull back i just pray I don't miss it before it picks again.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Nobody: 2:36pm On Jan 03, 2021
Please I need buyers for icumsa45 sugar, commission very attractive.
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Nobody: 2:50pm On Jan 03, 2021
hellohgy:
One advice I will give anybody planning to invest this year is to try as much as possible to invest in CRYTOCURRENCY.


Bitcoin is currently at 33k dollars, and it is still pumping.

In fact financial specialist predict BTC hitting 100k dollars this year.

imagine if you had bought BTC at 20k dollars.....


There is never a late time to enter the crypto market.


Crypto currency is the way...



I really want to invest in this crpto this January so I can sell Jan. Next year but I Don't know best platform to do that and how to go about it.

CAN YOU PUT ME THROUGH PLEASE?
Re: 8 Common Mistakes That Every New Investor Needs To Avoid by Shamzynioh13(m): 2:56pm On Jan 03, 2021
e tire me ooo

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