I was reading a new investment book this week, Market Masters, by Robin Speziale. (Well, I sort of had to read it, since there was a chapter on me in it!) The book is a collection of interviews with successful investors, and makes for a very good read. At the end, Speziale speculates on what actually makes a good investor.
One of his conclusions: good investors simply love the investment game. If you think about it, most successful investors are very, very rich, yet most keep plugging away, trying to find good stocks and get great performance, year after year. They are not doing it for the money. Read More…
I’ve said it before and i will say it again, you can’t panic when you see your stocks fall. Just buy and hold and watch it grow over the long term.
If well planned the there are several more reasons one can love stocks. But i feel you need to have more heavy experience beyond the average person simply reading the latest top-seller.
There is no free lunch and if one just does his/her homework and research there are all kinds of ways to relax and make a bundle.
Nice to see i am aware of all 5 reasons. The best of all is the huge tax benefits. Especially when you properly organizes them for different registered accounts.
e.g. tfsa for only Canadian stocks, US in RRSPs.
My biggest gripe is that U.S. stocks are subject to withholding taxes by the IRS. It’s not fun having to fill out paperwork to recover it.
I love stocks because i am big on dividends. Half my income comes from fixed-income holdings. 🙂
Still a crap shoot the whole market thing, IMHO.
The article fails to mention that if you make a capital loss you can use it to offset against future gains.
When i first started out i made a lot of losses. This CRA rule has come in handy a lot.
Easy for one to say. A lot of people have required a lot of Tums to keep cool through their investments. I’m one of them sad to say.