10 Reasons Why Investing Makes You a Better Person
Makes you form the habit of saving
Investing for a long period of time can make you form the habit of saving money. I remember when I first started investing money; I started with $1000 of my hard earned money. As soon as I started seeing some profits and getting infused by the excitement of Investing in the Stock Market I wanted to put some more. When you least notice the amount of money in your brokerage account is going to increase substantially and you will realize that your money is going to be harder to access than by keeping it in your savings account (which we all know we tend to reach out of it in few occasions) making it harder to spend.
Makes you take better decisions
After having some loses in any investment we have to step back and analyze our mistakes. Most of the times we realize that we lose money because we simply jump into the opportunity to make some quick cash.
This new mentality catches up with our ordinary spending’s either, buying a car, house, clothes, or signing up for a monthly membership. After the huge scars that the loses in our investments has left, we remember how we got them, forcing us to revaluate and strategize into every monetary spending we make from that point on, which will eventually lead to taking better decisions in the future.
Makes you smarter
Not everybody becomes a successful investor by night; therefore plenty of homework and research is required. Investing can also make you a well informed individual you will be amazed on how much you can learn about a particular business sector example: Retail, Gold, Electronics, etc.
I always remember when I first started finding my passion for investing I wanted to get my hands on every piece of financial literature I could found, making me a much savvier investor in the long run. The thing about investing is that you never stop learning. There will always be new ways to make money and new strategies that could come out of your research.
Read Also: Top Investment Books You Should Read
You become wealthier
This is the ultimate goal of every investor, but can also be the most difficult one. If you play your cards right, investing can be extremely lucrative. I have personally known individuals who have made more money from their investments than from their regular 9 to 5 job. The joy they express because of the time they can spend with their friends and family is incredible and I think should be the goal of every one out there.
You can save money
I’m not talking about increasing the size of your savings account, although I have mentioned before that it can help you do that too. What I am saying is that investing can help you find deals in everything. Just like you don’t like to pay overprice for a material used in your company or invest in an overvalued stock, you won’t like to pay extra for a set of golf clubs, jeans or whatever it is you are buying. Investing constantly makes you a savvier spender too. You will find deals in every store and could also help you find new business ideas. The idea is to always keep your minding working, it will become a habit.
Boosts your Self-esteem
Everybody feels good when the bonus paycheck comes in after your long hours of work. The same applies to investing; the amount of money you get is equal to the amount of hours and hard work you dedicated to making it happen. Eventually if you start seeing some improvements or significant gains the sense of accomplishment in your actions will boost your self-esteem to the roof.
Makes you more charitable
Anybody who invests knows that money comes and goes all the time. A thing I noticed when I started investing is that I was making a lot of money one day and the other I was suffering some loses. My concept of money started changing, making my donations bigger because I knew I could make the money back tomorrow or any other day. The amount of money you invest in your family becomes larger too.
Taking your parents, spouse, or a special someone to dinner doesn’t seem like a burden to your wallet anymore. In other words the fear of losing your money diminishes substantially, but remember to always keep your head clear when you are spending your money, don’t go over board.
Keeps you motivated
When I started investing I couldn’t wait until the weekend was over so that the market could open again. When investing you can’t stop thinking about your next move to make money and this is good. Positive thinking and dreaming about your next move could inspire you to take another route that could possibly become more profitable than the last one.
I know everyday I constantly think about at least 5 investment ideas, I write them down on my notes app in my phone and proceed to examine them later at night. Some of the best investments I have done have come because of a simple idea I had at a sporadic time of the day.
Makes you more productive
Investing can be time consuming; therefore you need to come up with a plan to make your whole day work. Before I started investing I followed my boring and ordinary schedule: Wake up, work, eat, home, gym, T.V. and Sleep – Repeat the next day till the weekend comes. When you start investing you break out of your ordinary routine and I started doing so much more like reading, researching, actually going to the companies to do market research, sending e-mails, blogging, etc..
There is always so much to do. Sooner or later your agenda will start filling up quickly and your management skills will need to improve if you want to continue the excitement, and that’s where you need to start prioritizing.
Read my article: How to Sort and Organize your Priorities.
Makes you an interesting person
After the mass amounts of books you have read, the articles you have discussed and the research you have done you can become and interesting person to talk too. I have noticed that after being informed on what happens on the news, the new sectors I’m researching on I can find it easier to converse with everyone, there is always a subject you can relate to.
People also tend to reach out to you when they have financial questions, the great friendships I have developed thanks to my investing career have been amazing and I have never looked back since the first day I opened my first brokerage account.
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Let me know how investing has made you a better person in a comment below.