Requirement 3: Coaching.
Success in investing, just like success in many other things, requires the help of a coach. The stock market is the greatest passive wealth creation tool in existence, but it’s not a cakewalk to navigate. Successful investing requires knowledge of the market and an unwavering dedication to the right investing philosophy. When the market turns downward, which it has and will again, most people freak out and make serious mistakes with their investments. Investor stats from the 2008 crash are astoundingly bad. Billions of dollars fled the market at effectively the worst time to get out (at or near the bottom). It was the second crash the S&P 500 had suffered within the decade and people were understandably scared and pessimistic. This is where a coach helps. A coach will help you gain an understanding of the market (so you won’t have to stress about the downturns), but more importantly will help you maintain your investing discipline (so even when you do feel stressed, you won’t make a big mistake). When most investors are panicking, a coach will keep you on track.
A good coach is the most important facet of stress-free investing. They help by educating clients to an understanding of the market, they help by providing a great portfolio, and they help clients actually obtain the market returns and outcomes they’re looking for. A good coach will allow clients to focus on their purpose instead of stressing about how their money is doing in the market.