What is Your Investing Strategy?
What is your investing strategy?
One of the first questions I ask an investor who comes to me is- What strategy are you using right now? I usually get a weird kind of look, followed by the question to me- What do you mean?
Whether an investor has a 401(k) or IRA, to be successful, you need a strategy, a strategy that actually has a name to it, a strategy that is based, and founded on, scientific, academic research. If a broker just picked out some funds or stocks for you, that is not a winning strategy for you, that’s a strategy for the broker. A strategy probably based on commissions to the broker. Want to have fun with a broker? Call your broker up and ask him this question- “What is the name of my investing strategy?” If you hear some paper shuffling, small talk stalling, or “I’ll get back to you,” you may have been had. If an advisor can’t back up his recommendations with evidence-proof, then move on. You wouldn’t buy a house without an inspection telling you the house was sound, You wouldn’t listen to a doctor making a diagnosis without him testing you, why listen to a broker that can’t back up a recommendation, based on your needs, without backing evidence- proof?
If you don’t know your investing strategy, if you don’t have the proof behind your investments, it’s time to move on and speak with a coach who can back everything up, with evidence- proof. I look forward to hearing from you soon.