Best In Wealth - Best Practices For Real People, Investments, Retirement Planning, Money Management, Wealth Building, Financi

THE FOUR TYPES OF CONVENTIONAL INVESTING PREDICT THE FUTURE The most common approach is based on prediction and forecasting. Methods include: Picking stocks expected to perform well in the future, Moving in and out of industry sectors, or Attempting to time the market These methods are based on trying to predict the future direction of the economy, the stock market, or an individual stock. This conventional approach assumes that someone has a crystal ball. Many people think this is the key to successful investing. In fact, when people meet financial advisors or others in the investment business, their first question is typically, “where do you think the market is going?” They are basically asking that person to make a prediction. Yet, no one can know the future—and if an investment person could predict the market’s future direction, why would he share that knowledge for free? A prediction about an uncertain future is just an opinion, and it should not determine anyone’s investment decision. Many people lear