4 Steps to Invest in 2022
Stocks this year is going to present the opportunity for this decade! In the previous V-Shape recovery after covid, I already warned that the recovery is NOT Supported by real economic fundamentals. But this time, global economics are better situated to really recover.
4 Steps to Prep for this Big Opportunity
1. Get Ready Your Watchlist - If all the companies in the world is on discount, which 15 companies do you believe will grow at least 3 to 5 times bigger in the next 10 years?
2. Get Ready More Cash. You wont want to invest too LITTLE in a BIG opportunity
3. Start Investing Now!? (Part 1)
Wait a minute... shouldn't we wait for bottom? We will never know where is the bottom so the better idea is to look at your watchlist and start accumulating companies that are already undervalued.
If you don't start investing and just wait... you may end up with stiff investing muscles and couldn't pull the trigger even when "the market bottom". In the end, you may just "wait" and miss the entire opportunity and have to wait another decade.
4. Start Investing Now!? (Part 2) For each company you want to purchase and add to your portfolio, aim to enter in 3 phases. Example, you want to invest in 10% of your portfolio in Amazon. And your portfolio in $30k. This means your budget to buy Amzn is $3000.
Invest $1000 first and wait to see when to invest in the 2nd $1000 and the 3rd $1000. This helps you psychologically as an Investor because one of the worst thing that can happen is you invest the entire $3000 and the market dips and you sit there feeling terrible and regretful because there is nothing more you can do about it.
Of course, if you are a seasoned and cool investor, and you deem that it is time to invest the entire $3000, knowing that you are fine seeing market dip, then go ahead!