Top 5 Investment Mistakes and How to Avoid Them

Top 5 Investment Mistakes and How to Avoid Them Ultimately, the whole point of investing is to generate a financial return while also protecting against risk elsewhere in your portfolio. If you are committed to avoiding unnecessary risk, you should also be highly motivated to avoid making mistakes along the way. Here are five potential pitfalls and what you can do to avoid them. 1) “Sunk Cost” Syndrome  When it comes to investing, you cannot become emotionally attached, no matter how much a particular stock, bond or company matters to you. If the investment isn’t performing, it doesn’t matter how much you want it to succeed. Either it performs or it doesn’t, and if it doesn’t, it’s time to sell. 2) Fighting the Market  No matter how wealthy you are, even a Houston business litigation attorney will tell you if you fight the market, you will get crushed. Occasionally the markets will clearly tell you something about your current…

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