Making sound decisions is essential to success in investing. Making good decisions consistently, especially in a complex realm like the stock market, is a skill that few are born with. The good news is that it can be learned and perfected through training and practice.
Amateur investors make decisions based on their emotional reactions to rising and falling stock prices.
Professional investors make thoughtful decisions based on carefully designed strategies.
Profits flow from amateur investors to professional investors as a result.
In this coaching program you’ll have someone in your corner who knows what they’re doing. You’ll get personal support while we design your strategy and strengthen your decision-making process.
As investors, most of the decisions we make are rational and sound – especially because the stakes are so high. But when the market begins to falter, we often have a tendency to let emotions dictate the choices we make. When this happens, we commit all kinds of mental errors.
Examples of emotion-driven investment decisions include:
Once we accept that we can’t always trust our first reaction to scary headlines or market events, we can begin to see things as they really are. It’s at this point that we can start to adopt a more systematic approach to investing. We can set up a series of checks and balances that compensate for emotions and biases that keep us from peak performance.
The place where all of your work during this program will come together is in your written plan, formally called an Investment Policy Statement, or IPS. It’s a living document that you will come to rely on for direction when you get lost, reassurance when you get anxious, and motivation when you get stuck. Here are some of the ways your IPS will help you become a better investor.
[If you choose to invest without an IPS, you can expect to achieve about 40% of your potential as an investor. The other 60% that you leave on the table will be picked up by those who do use an IPS.]
Having a well-written plan will take you a long way, but it isn’t enough. There are plenty of challenges that will arise when it comes to implementing and maintaining your plan. This is where having a coach in your corner can really pay dividends.
What Mike Tyson was saying is that professional boxers spend months preparing for a match. They work with their trainers to map out a strategy for attacking their opponent based on what they see as the other fighter’s weaknesses. This “fight plan” is drilled and practiced over and over again, choreographed right down to the sequence of punches that are sure to drop their opponent to the canvas.
But then the unexpected happens. A left hook comes out of nowhere. Bam! A direct hit. Seeing stars. Knees begin to wobble. And then – Down Goes Frazier!
At this point, the plan goes out the window as the priority shifts from strategy to survival. For investors, having a plan is essential, but knowing what to do when the market delivers a mean left hook is what really matters. This program will show you how to handle the toughest market environments without abandoning your plan.
After you complete the program, you will be able to effectively weigh your options, and make smarter decisions that will produce better and more consistent results.
If you are willing to invest a relatively small amount of time and effort up front, you will enjoy the benefits for the rest of your investing lifetime.
In this program we cover the 4 key drivers of excellence in investing.
Knowing who you are as an investor is the first step towards designing a customized strategy that takes advantage of your unique combination of skills, abilities, and resources. The way we do this is by looking at your investing history, your financial resources, your investing goals, your beliefs and expectations, and your need, ability, and willingness to take risk in the market.
Once we know who you are, what you are capable of, where you are now, and where you want to be in the future, we will get to work on identifying the obstacles that are preventing you from achieving peak performance. The way we accomplish this is by challenging your beliefs, testing your understanding of how the markets work, and isolating the decisions and behaviors that have been holding you back.
This is the “nuts and bolts” of the coaching program. Here we take everything we’ve learned about who you are and what you are capable of, and use it to hammer out your plan. This will include your philosophy, strategy, rules & procedures, checklists, and maintenance routine.
This is where we move from theory to practice. You’ve worked hard to learn, practice, and prepare for a major change in your approach to investing. Now it’s time to execute your new plan. Inevitably, there will be questions that pop up along the way. As your coach, I will be with you every step of the way, making sure that all of your hard work and preparation gets implemented properly.
Once your plan has been fully implemented, and all the trades have been executed, we will double check everything to make sure nothing was missed.
The last step will be to set up a routine for you to monitor and adjust your portfolio in order to keep it running smoothly and at peak efficiency. This will include scheduled reviews, rebalancing triggers, and price alerts. We will automate many of the maintenance tasks so that you can move on to more important things in your life, secure in the knowledge that your plan will alert you when action is required.
|Your Starting Portfolio||Annual Gains @ 4.25%||Annual Gains @ 8.21%||Yearly Increase In Profit|