Tip #6: Stop looking in the rear-view mirror.
“The ability to buy securities… successfully is the ability to look ahead accurately. Looking backward, however carefully, will not suffice, and may do more harm than good."
-- Benjamin Graham
It’s very human for us to look at past returns and get excited during a bull market or anxious during a bear market. But, when you’re looking in the rear-view mirror to decide how to invest, you’re ignoring the principal motive why we invest: the Future.
Plenty of studies have shown that ideas or trends that worked well recently are likely to underperform in the future, while those that have lagged in the past are likely to rebound. Rather than fixating your attention on the rear-view mirror, try looking ahead to spot future company earnings, upcoming fresh dividend payments, misunderstood companies, potential pitfalls, and mispriced markets.
Fast-forward your wealth with Next Pronto TIPS.