The Less I do, The Better I do
Investing TradingSomewhere between 2010 and and 2011 I stopped Forex Trading and stopped stock picking. It was just too much stress and felt very futile. Reviewing the market on a daily basis was exhausting and I even abandoned market timing with my models (the main gensis for this blog)! I took the “less is more” approach after I read A Random Walk Down Wall Street and realized that if you invest for the long term, you win. Short term? Not much so.
Now I just max out my 401k, diversify across asset classes, minimize portfolio turnover as much as possible, and invest in low fee mutual funds when I can. I follow John Bogle’s advice and realized that every asset class will have its day in the sun. You just don’t know when that’ll happen so in the meantime just dollar cost average into it.
In addition to my 401K, I hold a few funds and stocks in my IRA accounts. I tend to not look at them except for once in a while. Yesterday I looked at them.
Here’s one of my long term (5 years) winners.
And then there are some that are currently losing.
Time to put them back on my ignore for a while list.
Note: red arrows are where I went long.