There is no shortage of opinions when it comes to investment predictions. It is common to focus on short-term news, events or “tips” to justify behavior that runs counter to our own long-term interests.
Let’s review two more potential money mistakes to see if you are a victim of your own financial excuses.
7. “But the news said …”
Investing based on news headlines is like dressing today based on yesterday’s weather. The news might be accurate, but the markets usually have already reacted. There are billions of people who have access to the same news you see and hear. To make investment decisions based on daily news is another recipe for disappointment. Daily news rarely has an impact on long-term results and success.
8. “My uncle told me …”
The world is full of “well-meaning experts.” It seems like everyone has an opinion. Unfortunately, most of these opinions are recycled from someone else. Even if a tip is good, this kind of advice rarely takes your circumstances into account. Be careful, and do not get distracted by hot tips from friends or so-called insiders.
Given how easy it is to “pull the wool over our own eyes” and fool ourselves, it can benefit you to seek independent, professional advice from someone who genuinely understands your needs and circumstances, who puts your interests first, and who holds you accountable to the promises you make to yourself in your most lucid moments.
Call it the “no more excuses” strategy. Be intentional and develop a plan.
For more insight, listen to Jentner Wealth Management’s weekly podcast by clicking here. Or download Jentner’s newest white papers on The Four Cornerstones of Prudent Investing and The Active Versus Passive Investing Debate.