Three rules to avoid boredom in investing!

Three rules which investors can follow to avoid the pain of boredom/inaction in long-term investing: Rule 1 – Set the bar highest for buying a new company or stock. A high bar makes it almost impossible to add another stock to your portfolio because the ones you have are better. When faced with a decision to buy a new company or buy what you own, you buy more of what you own. Rule 2 – Learn & read about new companies, ideas or trends in sectors. Reading hundreds of annual reports, investor presentations, and earnings transcripts will make you feel that you do not need to add the idea to your portfolio. Moreover, the deeper you understand a business, the more you realize you don’t need to buy the stock right then and there. Rule 3 – Bet only on opportunities with greater upside than downside. Biggest struggle is the feeling you will miss out on a stock’s returns if you don’t buy today. The best investors don’t share this struggle. It doesn’t matter if an idea is genuinely great if you purchase today or tomorrow.