Invest For Success with Investment Coaching
Invest For Success with Investment Coaching
Investing in the stock market seems daunting & highly risky. It’s no wonder people avoid it all together.
But investing is so important to building a brighter future. By using sensible & simple investing strategies, anyone can become a successful investor. We can show you how.
Get started now with a FREE CONSULTATION with an investment coach as well as all the latest tips and tricks for financial well-being, right to your inbox.
Why choose investment coaching
Take the sensible path
The reality is that investing in the stock market can be incredibly risky. No matter what you invest in, there is a chance you can lose money.
Furthermore, there is a lot of advice out there and it’s difficult to know who to trust. It’s smart to be skeptical – even of us!
If you choose our investment coaching, we will help guide you down the sensible path. The path that we believe, from our many years of experience, gives you the best chance of success.
We do this through financial education. We give you the tools and knowledge to make smarter investment decisions.
Common investing pitfalls
Lack of diversification
If you invest in just a few stocks (companies) you are risking your financial future on the long term success of those companies. It’s a huge gamble.
Kodak, Nokia, Enron, Blockbuster and many other great companies have failed, and many more seemingly great companies will fail too. Picking a handful of stocks is fraught with risk.
Short investment horizon
Unfortunately, investing in stocks is not a get-rich-quick scheme. You need to plant the seeds and let them grow over not months, not years, but decades.
This is necessary as the stock market is a turbulent place. Our coaches will show you why your investment horizon should be at least 5 years, if not 10. You must be willing to keep that money invested long-term and not panic sell in the meantime.
Paying too much in fees
Just a 1% charge in annual fees can add up to hundreds of thousands of dollars over time. This is a difficult concept to understand, as 1% intuitively seems like a reasonable price to pay for investing.
You’ll learn with our coaches about the power of compound interest and how that can grow your wealth significantly – but it can also eat into your wealth through being overcharged in fees.
Trying to beat the average
Another strange concept our coaches will help you with is understanding that ‘average’ is good.
Most investors do not achieve the average market return. This is mainly because of fees, but there are other factors at play.
If you try to beat the market, you will likely fail (most of the professionals fail).
Investment coaching concepts
Investment strategies
Our friendly coaches will help you learn about concepts such as active and passive investing. Understanding the difference is crucial in picking an investing strategy.
Perhaps the best investor the world has ever known, Warren Buffett, is an active investor but advocates for passive investing.
Passive investing and index funds
In the old days, most investors would pick a handful of stocks (companies), say around 10-20, and trade them over time based on which they thought would perform better. This has repeatedly been shown to be a losing strategy for the vast majority of people.
Instead, with an index fund, you make one purchase into a fund (a grouping of stocks) and own a small part of thousands of companies. Most index funds effectively track the performance of the whole stock market. As a result, if the stock market goes up, so will your investment, and as it goes down, your investment will too. Accordingly, in the short term your investment may fluctuate wildly as we go through boom-and-bust cycles.
However, as the stock market has always returned over long periods, you have a high chance of success if you can commit to investing your money for many years (decades).
The benefits of smarter investing
Simplicity
Setting up passive investing is so easy, even for the complete novice. Better yet, once it is set up it requires almost no ongoing maintenance. You schedule a regular monthly payment into the fund of your choice, and that’s it.
It means you can focus on the other things that matter in life. You have bridges to build, diseases to cure, and time you want to spend with friend and family. Your index fund will be there for you, working away in the background.
Better performance
Historically, it has performed extremely well. A peculiar fact about investing is that by simply matching the average stock market return, you can grow your wealth significantly. In fact, over long time frames (decades) you are likely to outperform that vast majority of the professionals – really!
Be aware, though, the value of your investment can go down as well as up.
Cheaper fees
Smarter passive investing is cheap.
Fees are the enemy when it comes to investing. It’s arguably the most important factor. It’s partly why it has such great performance – you don’t lose your investment gains to fees.
Small fractions of a percentage add up to an almost unbelievable amount of money over time – our investment coaches can show you how.
Diversification
Investing in a global index fund gives you automatic diversification.
The diversification you achieve by investing in thousands of companies globally is what helps mitigate some (though never all) of the risks of investing.
Because your investment is not contingent on the performance of a handful of companies, you are in a much stronger and stress-free position.
Interested? Start with a free consultation
Financial Advisor vs. Investment Coach
First – an important distinction. We are not financial advisors. A financial advisor or wealth manager can recommend specific products and can take your money and invest it on your behalf (for a hefty ongoing fee). A financial coach on the other hand, focuses on educating you to make the best decisions yourself.
Using a financial advisor may seem like a sensible thing to do, but you rarely get what you pay for with professional investment managers unless you have a very high net worth or very complex affairs. That’s because they are rarely able to outperform the simple passive index fund, particularly when you deduct the fees that they charge.
The cost of financial advisors & investment coaches
Once again – it all comes back to fees. Usually, financial advisors are paid a percentage of your portfolio each year (possibly more in kickbacks depending on the products they recommend).
Most financial advisors are inherently good people trying to increase your wealth. But they are incentivized primarily by creating a profitable business for themselves – there is simply no getting around this inherent conflict. A low-cost, no-commission product is unlikely to get recommended by a financial advisor, even if it is the best option for you.
Financial coaches on the other hand usually charge a flat fee or recurring fee for multiple sessions. Therefore, we are not shackled by the need to make commissions. We simply want to impart the best possible wisdom we can.
An investing education
Our financial coaching is about educating you to make the right investment choices. Trust us when we tell you that no-one is going to be better at looking after your investments, and your future, than you.
Whether you have money to invest or are just starting to become curious about investing, a coach can teach you how to become a confident and safe investor. Let us present you with all the information so you can make an informed decision about your money.
You work hard every single day for that money, so invest in the knowledge needed to grow it over time. Indeed, financial coaching may be the best investment you ever make.