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What is the Secret to successful investing?

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Q. What is the secret to successful investing in the share market?

Josie’s Answer - Good question. Investing in quality assets is imperative, but there is an old saying that TIME, NOT TIMING the market is the key and I tend to agree with this.

Determining the right time to buy and sell shares* requires as much good luck as good judgment. More often than not ‘market timers’ sell when the market is low and are out of the market when the market rallies.

Short term investors also tend to forget that they trigger capital gains (or losses) when they sell an asset, so some of their profit is given away to the tax man.

Of course some investors get it right some of the time, but all the research suggests that it is very rare to get it right all of the time. Trying to time the market exposes you to very big risks, which we are all trying to avoid.

More articles for you to enjoy about Investing in the sharemarket:

How to Become a Succesful Investor
does the stock market overreact
Are you a good Investor?
How to buy shares - Two simple steps

Josie Kay

Don’t forget that the above information is general in nature and not specific to your goals and objectives. It is recommended that you seek personal financial advice specific to your needs. Also remember, that apathy can end up being your biggest expense!

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