There are many different paths you can take on your journey of wealth creation. However, there are some faux pas that can be detrimental to your journey even if they do not seem like significant errors at the time. This article goes over some of the most common mistakes an investor can make and what you can do to avoid them.
Becoming rich through investing may seem a lofty idea, but it’s also very simple. Over the years, you invest diligently and with discipline into various financial instruments so that you can enjoy compounded returns on those investments.
Though simple, it isn’t that easy for even the savviest investors to follow. As an investor, we all go through phases of anxiety, desperation, overconfidence, even greed, which can cloud our judgement. Add to that our confirmation biases, opinions subconsciously based on childhood exposure, Dunning-Kruger effect (overestimating one’s ability), and Impostor Syndrome (reluctance to acknowledge that one can be competent).
In other words, a smart investor is not above committing mistakes with their money. We reached out to some investors...