Looking to get rich next year? Unfortunately nobody becomes rich overnight.
Those “overnight successes” we see are normally the results of years and years of hard and deliberate work. The good news is that when it comes to building wealth there are no secrets.The same set of principles will work for absolutely everyone! If you’re willing to put in the work and make the sacrifices one fine day you can be sure of making your dream come true.
Would like to share few Tips or Suggestions to become rich not overnight but over years.
Invest Small Amounts Regularly
One common misconception is that you have to be rich to begin investing. This simply isn’t true. The wise way to build up a good portfolio is to first select a few good companies and buy small quantities regularly over a period of time. Don’t invest a large amount all at a time. Start small, work with what you have, and invest regularly. With time your investments will grow into something substantial.
Avoid Companies With Poor Management Integrity
If you are a Direct Equity investor, remember this, when you buy a stock you’re buying part of a company. Therefore, you need to avoid investing in companies that are run in a way you don’t approve of. If a company’s management has dubious past or lacks sense of trusteeship for stakeholders, you should never invest in any of its group companies. You should get to know a company before investing in it.
Have Realistic Expectations
You need to have realistic expectations when you’re investing. The stock market is not a gambling place. Don’t expect to become a millionaire overnight. You may earn reasonable returns on your investment. You can grow your money by investing but it will take time.
Win Over Emotion
When it comes to investing for the long term you need to stick to a systematic approach. Greed, fear, excitement and frustration are your enemy in stock market. Don’t allow the emotions to make your investing decisions. Always maintain a disciplined approach to investing.
A Company’s Growth In Core Competence Pays
If you lean on the side of growth investing be sure to look at the core competency in companies that you want to invest in. Core competency provides sustainable competitive advantage and the company benefits from the growth. Graham considers value of potential growth only if the growth is within the core competence or franchise of the firm. Remember this when choosing stocks.
Will share some more in my subsequent posts.
Happy Investing!
R♥Vi
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