Large profits on the stock exchange rarely arise by chance. Those who invest successfully in the long term usually do not have secret tricks, but properties that at first glance appear unspectacular.
• Clear goals and long -term investment horizon
• Awareness of psychological traps and bias
• Emotional stability and pulse control
Value and patience
A central feature of successful investors is a look into the future. Investors with a time horizon of fifteen years in broadly scattered portfolios almost always achieve positive returns, regardless of the start of the entry, according to economist Prof. Oscar Stolper from the University of Marburg in an article by the German Press Agency. The potential of capital growth can only be developed with patience in the long term.
Emotions under control
In addition to patience, the ability to keep a cool head in turbulent times is of central importance. Panic sales are among the largest return killers in the markets. Therefore, impulse control is one of the most important success factors. An examination by Kusawat and Rompho comes to a similar result: Investors that are more emotionally stable do better in the long term than those that react to short -term market movements.
Financial education
Another pattern is shown in the training. Investors who have a solid understanding of probabilities, balance sheets and corporate figures usually make more informed decisions. A study by Judith Chevalier and Glenn Ellison from 1999 published in the Journal of Banking & Finance makes it clear that better academic services often go hand in hand with more profitable investments.
Discipline, structure and systematics
Long -term success on the stock exchange depends heavily on consistent action. Those who follow clear rules, check portfolios regularly and adhere to a higher -level strategy, runs less risk of being driven by moods. An empirical examination with more than 400 participants shows that discipline, organization and conscientiousness are closely linked to above -average returns.
Personality and bias
Personality also plays a role. According to an examination of the Boston College, openness to new information and the willingness to learn from mistakes are characteristics that are more likely to be connected to stock investments. At the same time, thinking traps are lurking: high spirits, herd behavior or loss of loss always lead to wrong decisions. These distortions are among the most common causes of misinvestments.
Experience, quality of information and diversification
With growing experience, the likelihood of classic beginner errors drops. In an investigation, the German stock institute points out that routine investors are less often influenced by short -term trends. In addition, there is the quality of the sources of information. Anyone who relies on tested and valid data makes significantly better decisions than investors who can be guided by a flood of unfiltered messages.
Editor finance.net