These Common Investing Assumptions Are Losing You MoneyA small investor can still wield big confidence.
ByPhil Town•
Opinions expressed by Entrepreneur contributors are their own.
In this video, Entrepreneur Network partner Phil Town lays out a few investing myths that frequently prevent small investors from making money. They include:
- You have to be an expert to manage money. Experts do not necessarily know more than you do. In order to make money from your invesetments, you simply have to be "inch wide and a mile wide" in niche category -- or to be extremely knowledgable in a ccertain part of the market
- You can't beat the market. In terms of the individual investor, this is not entirely accurate. For larger fund managers, this may be close to accurate. Big funds also makes it harder for these firms to move around the cash, especially considering how illiquid it is.
- If you want to avoid risk, your investments must be diversified and held for a long time. Warren Buffett's portfolio is not, as perhaps some would believe, made of a wide swath of stocks. Town shares, in reality, it is made up of just 10 stocks.
Click the video to hear the complete list of assumptions.
Related:You've Scored a New Job. Here's What to Do with Your 401(k) Funds.
Entrepreneur Networkis a premium video network providing entertainment, ewitducation and inspiration from successful entrepreneurs and thought leaders. We provide expertise and opportunities to accelerate brand growth and effectively monetize video and audio content distributed across all digital platforms for the business genre.
EN is partnered with hundreds of topYouTube channelsin the business vertical. Watch video from our network partners on demand onRoku,Apple TVand the Entrepreneur App available oniOSandAndroiddevices.
Click hereto become a part of this growing video network.
