As investors, you tend to search through various investment options to identify which seems the best fit but still, the answer looks elusive. Sometimes the choice looks obvious like Equity and later it looks Fixed Deposits are much safer and it swings to real estate due to neighborhood effect (reference of the neighbor having bought a plot of land or flat). If your family is also involved then you need to add gold to this portfolio.
Add little Mutual funds then your confusion index goes up. Now you remain thoroughly confused and started feeling that professional dilemma is better than an investment dilemma.
The explorer in all of us makes us go around looking for value in an ever-complicated world of investing. The irony is all those we invested did not move up as much as those we kept away. Most times we chase the rear-view mirror returns. The reality remains that we can’t predict which animal will run faster at a given time. We all know that Cheetah is faster than Lion or Deer but we don’t know which will pause and take a u-turn while running. This animal instinct is difficult to predict.
So to get some clarity on the horizon and make our National Geographic lifestyle of investing or betting on stocks more democratic and worth full, we need to discipline our expectations. It’s like sitting in a safari Jeep and upon citing a Lion you can at best take a camera and snap a photo. You can’t run out of your vehicle and stand face to face to take a selfie. You may not be in the photo and your photo will feature on the paper. So much is the risk of investing in the instances of good performance visible just as when markets rose by over 15% in 2 days which is unprecedented. Similarly, you cannot be too fearful and withdraw investment at the drop of the index.
Markets behave the same as animals. You can’t do anything about it. You can’t change the behavior of the animals and so to the market. The only choice we have is to access them in a controlled and regulated way. Just as you have the jungle guide during your safari to navigate through the thick forest without getting lost and avoid becoming a victim of man-eaters and return safely to the pavilion after a successful visit, you need to tame your expectations. So venture into the wilderness of the market under the supervision of wisdom leaders.
If you want to explore the wilderness of Investing Jungle, talk to our Investment Guide for a life-changing moment of a lifetime.