The following is a guest blog post:
How do you know what investment decisions to make, which stocks to buy and when to sell them?
Before you invest a cent you learn as much as you can about chart analysis, you look for a mentor, and you analyze every aspect of the company whose shares you are interested in.
Listen and learn twice as much as you talk. Tai Lopez
Invest Time in Yourself
In a 24-hour day, you will work for eight hours on your business and five hours on yourself. Investing time in your education is the only way to increase your knowledge and improve your investment skills.
If you look to lead, invest at least 40% of your time managing yourself – your ethics, character, principles, purpose, motivation, and conduct. Invest at least 30% managing those with authority over you, and 15% managing your peers. Dee Hock
Your self-investment time includes self-study; reading the financial press, studying company websites and learning how to interpret corporate financial statements. You will also need to attend seminars and residential training to grasp the subtleties of investing finances.
Grow Your Knowledge
Stock markets go down as well as up, so you need to weigh your investment decisions with care.
Growing your knowledge never stops; instead, it will need to accelerate the more you learn.
The more I learn, the more I realize how much I don’t know. Albert Einstein
For every winner in the stock market, there is a loser, so you need to know more than most investors to reap the maximum returns. Your knowledge and understanding of stocks are critical factors in maximizing your dividends.
It is better to spend your time getting to know a few companies intimately because your investment decisions will be more grounded in facts and figures you have analyzed yourself.
Many investors use the second-hand analysis from the financial columns of popular newspapers, so they are always behind the curve. You need to be aware of popular sentiments, but your decisions should be based on research you have done yourself.
Grow Your Reputation
You will need a mentor, and finding one should be one of your prime objectives.
Mentoring an inexperienced investor is time-consuming for the mentor. Consequently, mentors are highly selective about the people they work with. They want to see you have worked on your own to master the basics of stock investing. Your reputation will reflect on any mentor who works with you.
A good reputation is more valuable than money. Publilius Syrus
Ensure all your social profiles are squeaky clean and that you are active on at least one or two platforms. Your posts should be original and valuable to other investors, rather than just reiterating popular opinion. Make sure you are active in forums and social media groups, and that you are positive in your attitude.
Grow Your Contacts
As your reputation as a helpful person grows, an increasing number of other investors will note your name and send you messages.
Nurture every contact just as a mother nurtures a baby.
Networking is an essential part of building wealth. Armstrong Williams
Networking is one task you can never delegate. You have to invest the time to demonstrate your commitment because your contacts only increase in number as others see you could potentially help them in the future.
The Short Version
Every dollar in dividend income is the result of investing time in growing your knowledge of suitable stocks in which to invest.