When most people think about investing in the stock market, "buy and hold" is what comes to mind. What if you were told that the buy and hold strategy that is so well-known might not be what's best for building wealth? In fact, that buy and hold strategy can drastically deplete your savings! There are a few reasons why people buy and hold, but many reasons it should not be the only strategy used when investing in the stock market.
What Cycle? - Many people don't understand that the stock market undergoes up, "bull", and down, "bear", cycles. One might be successful if they choose to buy and hold stocks at the beginning of a new bull market, but it's important to know when short term trading is a better option. You have the potential to make more money and avoid losing your investment using a short term trading strategy during an old bull market. What happens if you've trusted an advisor to invest your money? Having a deeper understanding of stock market cycles can help you to take charge of how your money is handled.
Right Intention, Wrong Method - Financial advisors don't intend to lie or hurt you, but many are acting on methods they've learned that are not always correct. Buy and hold isn't always the best financial option, and at times it can lead to great loss. Using the appropriate strategy based on the stages of the market cycle is imperative to maximize success. TRADEway teaches a combination of short term trading skill sets with longer term investment strategies. You can learn which strategy to use and when to use it to maximize your earning. Why diminish your savings or slow your earning rate when you have the potential to reach your biggest goals taking small steps?
Buy & Hold Bandwagon - Buy and hold has become the primary strategy only in the last few decades. Due to their asset size, mutual funds weren't successful at short term trading based on market cycles, because of the amount of time it took to sell then get back in the market. Buy and hold became the standard, and the opinion of those major institutions influenced the masses. Individuals have advantages over professional fund managers, because they have the ability to enter and exit the market quickly and "stay in cash" when needed. TRADEway education gives people the knowledge and confidence to jump off that “buy and hold bandwagon” and travel down the road of wealth creation.
Does your financial advisor understand market cycles and know when to use various strategies other than buy and hold? Attending one of TRADEway's two-day Step One events can give you the education needed to manage, or even FIRE, your financial advisor. No one cares more about your money than you, so why not be the one in charge of building your legacy.