Most people believe that achieving the life of a billionaire is impossible. Yet famous investors have done just that through their persistence and disciplined investing approach. Although they may make their accomplishments look easy, in reality it might take a lifetime to match their coveted skill sets.
Trading opportunities are endless—and so are investing ideas. However, many successful investors like Warren Buffett favor long-term value strategies or hybrid approaches of value combined with growth.
“If you are not willing to own a stock for 10 years, do not even think about owning it for 10 minutes.” —Warren Buffett1
Although high-impact events like the housing crisis and dot-com collapse can be jolting, reacting based on emotions alone can take your portfolio further off course. Many successful investors maintain strategic principles for decades, only making slight adjustments along the way. Here is a quote from Benjamin Graham’s book, The Intelligent Investor, published in 1949.
“The underlying principles of sound investment should not alter from decade to decade, but the application of these principles must be adapted to significant changes in the financial mechanisms and climate.” —Benjamin Graham2
Thinking independently and understanding why transparency matters for your portfoliohttps://www.motifinvesting.com/blog/top-characteristics-wealthy can help you make better financial decisions. Experienced investors advocate the importance of understanding how every investment fits in with your financial goals.
“There’s a virtuous cycle when people have to defend challenges to their ideas. Any gaps in thinking or analysis become clear pretty quickly when smart people ask good, logical questions. You can’t be a good value investor without being an independent thinker—you’re seeing valuations that the market is not appreciating. But it’s critical that you understand why the market isn’t seeing the value you do. The back and forth that goes on in the investment process helps you get at that.” —Joe Greenblatt3
Selecting an investment strategy that works well for you isn’t the only step toward achieving a great return. Applying a disciplined and proactive approach can help you break away from the herd.
“Financial peace isn’t the acquisition of stuff. It’s learning to live on less than you make, so you can give money back and have money to invest. You can’t win until you do this.” —Dave Ramsey4
Even investing legends started out as novice investors. Practicing smart investment principles, listening to your instincts, and learning from your wins and losses can help you refine your investing skills.
“In all realms of life it takes courage to stretch your limits, express your power, and fulfill your potential… It’s no different in the financial realm.” —Suze Orman5
Did you know one of the top five characteristics of the wealthy is frugality? Combine a frugal lifestyle with great investing ideas and you could achieve your personal financial goals.
“The main difference between me and other people who have amassed this kind of money is that I am primarily interested in ideas, and I don’t have much personal use for money. But I hate to think what would have happened if I hadn’t made money: My ideas would not have gotten much play.” —George Soros6
Successful investors rely on more that just luck. Industry leaders continuously analyze data, adhere to investment philosophies and invest in great ideas.
Ready to put your money to work? Motif Investing provides the tools and services to help you get started with thematic investing, helping you work toward achieving your financial goals.
1 Johnston, Michael, “41 Inspiring And Intelligent Investing Quotes,” Dividend.com, October 1, 2014.
4 Bakke, David, “The Top 17 Investing Quotes of All Time,” Investopedia.com, May 16, 2011.
5 Horn, Brian, “The 7 Levels Of Wealth Manifestation Launches To Help Individuals Break Self Imposed Limits on Wealth,” Business Wire, May 14, 2013.
6 Zeldes, Leah A., “George Soros Quotes on Finance: 7 Memorable Statements by the Billionaire,” Newsmax, May 14, 2015.