You need a Plan!
The more I study, the more I am absolutely convinced there is no better place to be for this portion of the cycle than in precious metals. I never doubt my choices anymore, and every question I come up with always has the same answer. Investing in precious metals is the safest and smartest investment for my plan.
Develop a plan, write it down, and stick with it.
Continuously refining and clarifying your plan is a good thing and if you discover that your plan is flawed, then modification is a must. Success or failure can hinge on not only the quality of your plan but also the continual refinement and execution of it.
A plan should have a goal, a strategy (the big picture of how you are going to get from A to B) and a tactic (the specific methods to be employed to implement the strategy).
Develop Your Plan
To develop an investment plan that is right for you, you first need to ask yourself, Who am I? Take a look at your own personality and determine what kind of an investor are you. Here are some good questions to ask yourself:
- What is my risk tolerance?
- Am I a trader or an investor?
- How actively involved do I want to be with my investments?
- What is more important to me: the potential for huge gains, or a good night’s sleep?
- Am I young or old?
- Am I investing to build wealth now, or for retirement? If I am already retired, am I looking for safety and potential growth, or do I need income?
As of the writing of this book, I am convinced that precious metals should offer huge gains and a good night’s sleep.
A Good Team is part of a Good Plan
As Robert Kiyosaki says, “Investing is a team sport”. He also says, “Hire the best advisors and pay them well”. How do you hire a team to help you make investment choices in the precious metals sector?
The simplest way to put together a great team is to subscribe to some great newsletters. However, you should get recommendations first, because some newsletters are not so great. You can get recommendations from the other parts of your team. And the other parts of your team don’t have to be people.
They can be investment books such as this one, or any financial book that has a resources section in the back. Many good sources are listed in the resources section of this book. Start reading them to educate yourself, and you will slowly gravitate towards the better newsletter writers that fit your style.
From the book: “Guide to Investing in Gold and Silver” by Michael Maloney
