Investment Discipline

One of the great "secrets" of successful people is discipline and it doesn't make any difference whether it is manufacturing, processing, servicing or investing in the stock market.

Before you can have that discipline you must have a successful plan and stick with it. If the method you use does not work or results in smaller profits it should be abandoned and a better one found. For the average investor the plans laid out by Wall Street do not work and over the long run you will lose money. Actually you will make a very small percentage, but the return will be mitigated due to ongoing inflation. The great majority of investors believe that an annual return of 10% or more is to be expected when actually it is much less and there will be periods when there will be almost no return at all.

Returns can be increased greatly if the investor will learn not to follow the 3 great lies of Maul Street. They are Buy and Hold, Dollar Cost Average and Do Research. These lies have been told so often that they have become conventional wisdom.

During 1998 and 1999 the price appreciation was fantastic. If you check back in history you will find this was an aberration. Folks still think that was "normal". The actual norm is about 16 to 18 year periods of bull markets followed by bear markets with many 4 year cycles of ups and downs with that 16-year time frame.

Think back to 2000, 2001 and 2003. During that time did your broker ever call to tell you to sell? About 98% of brokerage company recommendations were to Buy. Many folks lost 50% to 80% of their savings. That alone should have turned on the light bulb in your head that either these guys are stupid or they are lying to you.

There is a "secret" to investing and it is one word - Sell. You must have to discipline to remove yourself from losing positions. During the worst part of that 3 years we saw many stocks drop 50 to 90% and other companies go out of business. It you have placed a limit to the amount of loss you would take you would have a lot more money today. Why do you want to wait for your stocks to drop 30, 40, 50% or more when you could have placed an Open Stop Loss Order with your broker to sell you out if your stock dropped below a certain price? Maybe 10%, hopefully not 20%, but even that is better than a huge loss.

In many cases brokers try to talk you out of selling, but your discipline will require you to be firm. You must protect your money; insist on protection of your investments.

Al Thomas' best selling book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter and receive his market letter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know. Copyright 2005

car service from Midway Burlington .. Lockport Chicago limo O’Hare

In The News:

Tech expert Kurt “CyberGuy" Knutsson says a malware app called SpyLend is posing as a financial tool, hitting 100,000-plus downloads.

Tech expert Kurt “CyberGuy" Knutsson says Clone Robotics’ Protoclone mimics humans with 1,000 muscles – too human for comfort.

Tech expert Kurt “CyberGuy" Knutsson urges you to use Apple’s App Privacy Report to see what your apps are really up to.

Tech expert Kurt “CyberGuy" Knutsson talks about how to smoothly transfer your data from an old laptop to a new one using cloud storage or external drives.

Kurt the CyberGuy offers tips to safeguard your personal information as scammers become more sophisticated with scam texts and other methods.

WeRide's unmanned electric delivery van, the Robovan W5, has 194 cubic feet of cargo space and can carry payloads up to about 2,205 pounds

Kurt the CyberGuy recommends deleting 16 browser extensions immediately in response to a report saying more than 3.2 million web users were affected by a security breach.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

A robotics firm in China claims a robot has performed the world's first humanoid robot front flip, which is significantly more difficult than a backflip.

A digital ID may be even more secure than a physical ID. Storing your driver's license in your Apple Wallet is an ideal solution for commuters.

A cybersecurity firm has shed some light on just how common tax scams have become. Kurt the CyberGuy offers his advice for how to protect your refund.

Lifesize Plans offers immersive walk-throughs that allow customers the opportunity to tour a home's design before construction actually begins.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

A man invested $4 million in bitcoin and lost it all with a single click when he was targeted by a vishing scam, which uses phone calls to trick people.

Expandable's Touchdown is a designer trailer that promises a luxury off-grid living experience and unfolds into a home in about 15 minutes.

Major employee screening company data breach affects 3.3 million people. Tech expert Kurt “CyberGuy" Knutsson explains what happened and gives five ways to protect your data.

Kurt “CyberGuy" Knutsson reveals mind-blowing tech that gives you sunlight on demand.

New malware "FrigidStealer" targets Mac computers. Tech expert Kurt “CyberGuy" Knutsson offers four ways to stay safe from infostealer malware.

Kurt “CyberGuy" Knutsson talks about how lab-grown muscles power a biohybrid hand for scalable prosthetics and research.

Reports of task scams have significantly risen in the past four years, according to the Federal Trade Commission. Kurt the CyberGuy offers some red flags.

iPhones have a hidden folder that eats up storage without you knowing it. Kurt the CyberGuy offers some tricks to free up storage on your device.

A recent ransomeware attack targeted Zacks, an American investment firm, and a cybercriminal claimed to have stolen records for millions of customers.

Stay up to date on the latest AI technology advancements and learn about the challenges and opportunities AI presents now and for the future.

Researchers unveiled a new soft prosthetic hand that combines the natural coordination patterns of our fingers with the decoding of motoneuron activity in the spinal column.

Accidentally deleting a text message on your iPhone or iPad is not a problem if you still need the message. Apple has a built-in way to recover it.

Investment Discipline

Stocks & Mutual Fund