I was bitten by the bug almost backpacking 10 years ago. Students with an affinity for Henry David Thoreau and Ernest Hemingway, I’m looking for simplicity and outdoor adventure.
In the forest, this seems simple, less chaotic. The day consists of hiking, eating, drinking, and sleeping. That’s all. There are no cars, no cell phones. But four or five day trip backpacking is not all sunshine and breathtaking views. The problem occurred and a storm arose, so without careful planning and the right mentality, apparently small issues (oops, I forgot my tent poles) snowball into a disaster.
Almost a decade after my first backpacking, they are the same lesson at the mountain trail has helped me become a better investor.
1. think long term
Doesn’t sound too outdated, but a backpacking trip very much about the trip as a whole rather than specific. When reflecting on the way, I don’t think just the events that happened during it (get soaked in a thunderstorm that eat the most delicious Snickers bar I ever had). On the contrary, I see the big picture and remember an overall positive feelings. If I only remember sleepless nights and muscle pain, I will never take to the track again.
The same also applies to invest. The company made a mistake and lost revenue estimates. But certain events often have little bearing on the decades of history of the company. It’s easy to get caught up with the constant gyrations of the market, but like any stupid is good, we want to avoid buying or selling on one piece of good or bad news. If I just focus on every negative one movement I investments made, I’m never going to hit the buy button again. On the contrary, saw the company fundamentals and consider the Record. Berkshire Hathaway (NYSE:), which has been slowly and methodically created strong acquisition (think GEICO or see’s candies), are not created overnight. Warren Buffett has spent decades created an Empire- -long period of time.