What Game Are You Playing?

What Game Are You Playing?

How do you think you would do playing tennis and using a golf club, instead of a racket?

Or driving down the basketball court wearing hockey skates? Using the wrong equipment for the game we are playing will negatively affect our performance.

The same thing can be said for investing.

The Investing Games

When investing, there are two primary games. Short-term investing, also known as trading, and long-term investing.

Equipment for short-term traders include stock charts, quotations, financial TV programs, and forecasts. Outcomes in the short term are largely influenced by luck, chance, and how other traders feel at the time.

Equipment for long-term investors include a financial plan, customized investment strategy, and developing patience to take the long view. Fundamentals, such as earnings, are the primary drivers of long-term market outcomes.

Benefits of the Long Game

Over the past seven decades the markets have experienced significant temporary losses. But those losses, while concerning at the time, paled in comparison to subsequent market gains.

You can improve your game by first identifying which game you want to play. Then choose the best equipment for that game.

And don’t forget the role of your financial advisor, who acts as your guide to help you reach your goals.

Stay invested,

– Kaleb Paddock, CFP®

Learn More

You can learn more about Ten Talents and Kaleb Paddock, a financial advisor based in Parker, Colorado, by clicking here.

Kaleb can be reached at (720) 710-0939 or kaleb@tentalentsfp.com.

You can check out the Ten Talents YouTube channel by clicking here.

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