Stop Reinventing the Wheel!

When it comes to investing, there are many pools of thought. You have your day traders, options traders, commodity traders, currency traders, technical traders, fundamentalists, short term bond traders, long term equity strategists, etc. etc etc...

There's no perfect way to invest and MAKE MONEY but I am absolutely positive there are thousands a ways to lose money in the stock market.

Look at it this way, "The stock market has a funny way of taking money away from stupid people and giving it to smart people. And it does this over and over and over."

I may be simplifying it a bit but here's why.

The majority of stupid investors normally think short term, they have the belief that holding a position through lunch is a long term hold. They believe a "Wall Street Miracle" happens every day. You know, you take your entire 401K and buy shares of the new hot tech company before earnings at 8, they announce numbers after the close, the stock opens the next trading day at $45!

Couldn't be simpler.

Dream on bro, dream on.

In my business there are a couple things I know to be true. That young brokers waste there first years commissions on strippers and the individual investor is always WRONG when they think short term.

Sorry, I know a lot of individual investors are reading this but it's better to hear the truth from me...now.

Think about it. We all know that the information on the market and individual companies is available for everyone to see and that the playing field is to be level.

What seperates the "Pros" from the "Joes" is how we interpret and act upon the information available combined with our RESPECT for the market.

Outside of the shows on CNBC, where theY'll have you believe all money is made short term, you will never and I mean never read an analyst report where he gives a minimum price projection on a company stock less than 12 months. If he believes it or not.

Don't be like Mike, be like Buffet. Warren Buffet, arguably the best stock market investor of all time.

He has 3 Golden Rules:

First Golden Rule of Investing: Know who you are before you start investing in assets that have risk—don’t use the marketplace to find out.

Second Golden Rule of Investing: Know why you are buying a particular stock—don’t wait until its price goes up or down to think about it.

Third Golden Rule of Investing: Take your time—you are investing for the rest of your life.

He also says that if you aren't prepared to own a stock for ten years, don't even think about owning it for ten minutes.

Remember, you don't have to invent a new wheel when it comes to investing your hard earned benjamins. There are a lot of opportunities out there to take advantage of.

Like it or not, you've got nothing but time.