The one percent club
Everybody wants to be wealthy, but not everyone is going to be wealthy. There are many reasons for this, and I could write a book all about it. But instead, I’d like to focus on the main reason, taking too much risk. All too often putting the cart before the horse. Let’s talk about the one percent.
The best performing portfolios are the ones that consistently first and foremost, take no losses. This can be achieved by simply buying and holding a stock forever. Of course, that is what most people do for a multitude of reasons and it is a decent strategy if you are young and know how to manage money and live within your means. The folks a little further along in life, are always looking for a better return on their money, but have the tendency to have a great amount of debt. And of course, you have the retirees that in a lot of cases are very protective of their wealth accumulation and are very risk-averse.
Investing is good, but investing and trading are the Holy Grail. Many things have changed over the years and one, in particular, is the ability to trade stocks for free, with no trading commissions. Every day I come across someone that had no idea. This changed everything when it comes to investing.
I focus on one number, the number one. One percent to be exact. I target this value per month per portfolio regardless of the size of the account at a minimum. And I’m not going to turn down more, who amongst us would?
Now, most people are turned off by such a small number, but that actually comes to twelve percent per year! Have I got your attention? Using the rule of seventy-two, it only takes you six years to double your money. Remember that is at a minimum.
So, now working backward we can come up with a solid strategy for targeting our wealth in the future based on what we have now. All the while not taking unnecessary losses.
Take the course and find out if it’s something that interests you, and become part of the one percent club.