What Is Your Investment Growth Strategy?

Investing is not a sure thing in most cases, it is much like a game - you don't

know the outcome until the game has been played and a winner has been declared. Anytime  

you play almost any type of game, you have a strategy. Investing isn't any different -

you need an investment strategy. Keep in mind, however, having a stratedgy is not the same

 as wishing or dreaming.  A good strategy can be overturned by a trained manipulator of the

stock markets.  Even so, the long term investments and re-investments in a particular stock

or index fund, has proven to garner the highest yield.

An investment strategy is basically a plan for increasing the value of your money in various 

types of investments that will help you meet your financial goals in a specific amount of time.

Each type of investment contains individual choices that you must make. A

clothing store sells clothes - but those clothes consist of shirts, pants, dresses, skirts,

 undergarments, etc. The stock market is a different type of investment, but it contains

many types of companies and corporations all wanting you to put your faith and money in them.

Some of these companies are considered 'growth' stocks which means that their plan is to

grow that company within their niche.  Others pay dividends periodically based on how much

money you have bet on their success or continued success. "Bet" is the proper word to use

because the stock market is a gamble controlled by market makers and the economics of the time.

You may be a shareholder in British Petroleum and you likely have lost much of your investment in the

past several weeks.  No one could have predicted such a tragedy, it was a gamble that paid off

for a long time.  The trick is knowing when to hold them and when to fold them.

If you haven't done your research, it can quickly become very confusing - simply because

there are so many types of investments to choose to add or remove from your portfolio.

 This is where your strategy, combined with your risk tolerance and investment style all

come into play.

If you are new to investments, work closely with a financial planner before making any

investments. They will help you develop an investment strategy that will not only fall

within the bounds of your risk tolerance and your investment style, but will also help

you achieve your financial goals.

It is not too smart to invest money without having a goal and a strategy for reaching that goal!

You should also have an exit strategy and be familiar with stop loss orders. Nobody hands

 their money over to anyone without knowing what that money is being

 used for and when they will get it back! If you don't have a goal, a plan, or a strategy,

that is essentially what you are doing! Always start with a goal and a strategy for reaching

 that goal!

Cause Joy!