Few years back, I started making investments with around 1000 bucks and never thought of getting a good return. I just wanted to do something different and investment was my passions since college times. Lots of people told me at that time so as not to enter into the Share Market and gave me great advices at that point of time. But my reply was simple, “I will not get poor if I lose these few thousand bucks; just let me do it once in my life, who knows I could prove to be good at it”.
Today, I am very thankful that I stood by my decision of continuing investments and learnt lot of different skills. Now, it has been three years since then and surely my investing habits kept changing by the time for a better reason. But I always focused on regular investment by taking out some part of my salary for the same.
“Success is created through the performance of a few small steps taken regularly, that stack up over time to produce achievements far beyond anything you could have ever planned for”.
This was a big idea that I learnt and following thoroughly the same in investment. These little success habits are so easy to do that most people don’t think they will make a difference. And so they don’t do them. But these small steps really made a difference for me.
To be successful in investment you need to do right things consistently and these little choices and small behaviors build up over time. This process reminds me of a farmer; Farmers and Investors have some similar attributes. Let us understand it with a simple story:
“A farmer plants the seeds, waters the crop and soil gets fertilized. But nothing seems to be happening till certain time. Yet the farmer doesn’t give up or farmer doesn’t run out into the field and start digging to find vegetables/fruits. The farmer has patience and trust on the process of Cultivation. He just has a faith and deep understanding that through his daily efforts, the harvest will come. And then one day, almost out of nowhere, it does.”
We (Investors) need to be more like farmers. If we want good returns from our investments then we have to nurture our investment so they can perform like the seed. But the only condition is: we need to select a good share via the process of Value Investing on which we can trust like a farmer does on seed, on his farm and on himself. It seems very simple but then also very less people in the world follow it and therefore we have very less successful people in investment.
All successful people perform the same disciplines. They consistently practice the same fundamentals but their seemingly small, insignificant small acts of excellence stack up over time to a best-in-class career and a world class personal life.
If you have something to add, Please post your thoughts in comments. I would love to hear from you.