If I had to put a number on it, I would say that at least 75% of your success as an investor will come down to your temperament.
Can you remain calm while others panic?
Can you see the big picture while everyone else focuses on the headline?
Can you be greedy when others are fearful?
Can you commit to the long term while everyone else is fixated on the quarter?
Each of these questions sound simple in theory. But doing it when your account is getting decimated is another story.
None of us has a crystal ball and can say with certainty what the outcome of any investment will be. One thing I know for certain, though, is that historically, the real money in the stock market is measured in decades. Not weeks, months or even years.
My book, The Stock Market is For Everyone, is a short guide for the beginning, inexperienced investor that is easy to understand and can be put into action immediately.
Click the image of the book at left to be taken to its Amazon page. (Disclosure: As a participant in the Amazon Services LLC Associates Program, I earn a small commission on each sale generated through these links.)