A lot of people utilise a lot of time tracking the ocean of finance for personal investments and eventually fail to make good investment decisions for their personal wealth. Some even fail to take any decisions at all.

To start, I’d like to advise you to grasp the fundamentals of financial markets. Our new era gives us the privilege of easily accessible knowledge. It wouldn’t take much time to educate ourselves.

But we’re all aware of the inconsistencies of financial markets. We are also mindful of how only the most discerning ones bear fruit to the fortunes of financial markets due to their familiarity, exposure, and experience in the market.

If we need a liver transplant, we won’t do our own surgery. We appoint a doctor with years of education and practice in the medical field. If we do otherwise, we are going to bear the misfortune undoubtedly.

Then my question to you is,

why do we not choose a professional to handle our personal investment activities?

We are already so busy with our prioritized professions that we anyway don’t have the time to give our full attention to our personal investment management activities. That’s how we get our fingers burnt. 

Review the performance of the professional in whose hands you are going to lay your savings. They have years of knowledge and experience in financial markets and know what they’re doing.

Making investments in stocks from the surface may look like it doesn’t require much skill; you can open a brokerage account and buy and sell shares you have heard from different sources. You may make a profit or bear a loss, and for a while, it may seem like fun and games until it isn’t. 

If you gain profits during your early tradings, you may become overconfident, and if you bear losses, you may quit the market.

The best way to invest in the financial market is to focus on your daily profession and fuel your investments through your savings from your income and pay a small fee to a professional to handle it for you.

You will be happier when you focus on yourself and see your wealth growing through the hands of a trusted, experienced professional!

Interested in getting financial advice?

We’ve been consistently giving superior returns to clients for over 5 years now. Reach out to us at invest@iamclearmind.com

In the last decade and a half, there has been tremendous growth in solutions for retail investors. From absolute free brokerage to fully automated portfolio management. Innovation has come not in bits and pieces but in floods and tsunamis. 

Many of us have enjoyed the bull run over the last year and a half where some of us have even doubled our investments. Still, when we look at the long term, in the last decade, 90% of the retail investors have failed to make money from the stock market.

Here are 5 reasons why..

Influence

Our investment decisions are heavily influenced by a variety of factors and sources of information. We all have that stock expert friend or relative who follows the stock market as a hobby and we let them influence our decisions on where to invest. Will you really allow a hobbyist pharmacist to medicate you? I hope the answer is NO!. If not for our health, why do we trust stock market hobbyists with our wealth? Another very common place of influence is news channels. News will always talk about the events after they have unfolded. Have you ever seen the news channel be ahead of time? When the stock has already given a 100% move and past its major move, then it becomes newsworthy. And till then you have missed the bus.

Lack of understanding

We trust and get influenced by others as we do not have a complete understanding of the events and how to make those investment decisions, what if they go wrong? We then have no one else to blame and no choice but to accept the fact that we did not make an informed decision.

Seeking complexity

It is a given that how can something like a monetary system or stock market be easy. It has to be really complex and making money from it has to be really difficult. We need the extra edge to make money, the edge can be high computing power, insider information, complex mental models derived from the expert advice of bloggers. So we expect complexity and thus are unable to act on the simple ways to really invest and make money.

Over diversification

We have been bombarded with diversification, all our life. Apparently, everyone suggests everyone diversify. And in this process, over-diversifying eventually leads to our portfolio getting stagnant, even though we would’ve captured 3-4 multibaggers, why?

Because they amount to only 1-2% of the entire portfolio. How will that help you in any imaginable way possible to make your portfolio multifold?

Diversification is a myth!

Improper risk management

While some of us over diversify our portfolio, some of us go on randomly buying random stocks with no calculation as to how much to buy and how it would affect our overall portfolio. With no idea of how much downside one stock can have and some Tees Mar Khan’s of the stocks market go above and beyond to invest without actually putting a stop-loss in place. This leads to the portfolio being at risk of taking a hit and eventually retail investors losing money.

Cycle app helps you avoid the Influence, Lack of Understanding and complexity. By giving actionable and Insightful Buy Sell and Wait signals, along with stop loss for every buy signal across 3 countries and 10000+ stocks in India, USA and China