If your approach towards achieving your goals in the previous year failed then you need to revise your old strategy and set a new investing strategy as you enter 2024.
It may not be necessary to set a new investing strategy if you are already succeeding with the old plan. This is because the main motive for creating an investing strategy is to achieve success in your investment.
(What are investing strategies – you can learn it here)
Mostly at the end of every year, we tend to calculate our income, expenses, and gains. At the end of this, we decided if we made any profit from our investment.
If there is a gain we may decide to maintain our old strategy. If there is loss we revise and set a new investing strategy to meet achievable goals.
To set a new investing strategy in 2024 you will need to cancel the old plan. But before you do this, think back and recall the issues that likely caused the failure of your old plan.
Factors to consider before setting a new investing strategy
1. Review your old strategy
Every investment needs planning; where you fail to plan you have also planned to fail. You need to ask yourself this: Previously before investing, did you lay down any strategy or you just started right away?
Perhaps, you may have mapped out some steps on how to carry out your plans. If this is the case, did you follow the process?
If you think you follow the process, how serious are you? If you are serious then how come you did not achieve any result?
If you planned but the result is fruitless then it is time you revisit this plan. First, re-examine the process you passed through, the method you used, and all that you did. How perfect or near perfect you did it.
2. Detect your area of failure
In the course of reviewing your old strategy detect where you have failed it. Where you are lacking, and where you are missing out? There are things you are not doing well or not doing at all. Those things you have omitted or failed to do might be the very reason for your failure.
Sometimes your defined area of failure might be something that needs financial support. If you are not willing to commit some funds then you might still get it wrong again. Therefore, you need to consider adding some funds to that aspect of your investment.
Again, if it is something that needs knowledge then you need to make deeper findings and research. Learn more about your investment option. You may need to be an expert to get it right this time. In this case, it is not how much you failed but how much you learned from your failures.
3. Be willing to start again
For any investment to grow and yield positive results, you must be willing to commit your funds, effort, and time. Most importantly, you have to make up your mind and be determined to sacrifice these three things. You need to get it right this time by revisiting your old strategy, and renovating it to set a new investing strategy.
4. Set a new investing strategy
If you are willing to start again in 2024 then set a new investing strategy that is different from the old one. Remember, it is not all about setting it but all about taking action to implement it.
Investment strategies are plans or policies an investor formulates as guidance to help in making goals more achievable. Investing strategy does not only apply to beginner investors.
Experts can still fail in their various investments because investing is taking a risk. In this regard, experts can apply new investing strategies in other to minimize risk.
Whether you are a new investor or have been in the field for long, you can still learn how to set a new investing strategy in 2024. Just be guided by the following tips
1. Do you understand your investment option too well?
You may be wasting your time and funds trying to set a new strategy when in truth you do not know much about your chosen investment. Is it not better you look for an expert to handle it for you?
If you want to carry out your investment all by yourself then you must learn and learn again. Keep learning even when you think you know much. Make deeper research, ask questions, and conduct experiments.
This is the most important step that will guarantee you the idea of how to set new plans. Your knowledge will help you to understand the first thing to do.
For instance, if you plan to invest in stock, then start by doing research and findings about stock investment. Ask experts stock dealers and brokers questions related to stock.
Be open and tell them you want to start stock investment and also be willing to learn from them.
Make sure to grab enough knowledge that will set you on the track to making a new strategy. Therefore, if you are knowledgeable enough then you have passed this stage.
2. Plan to commit your effort
Your effort towards your investment is equally your strength, the different actions you take in different areas. It may be easy to sit down and draft out a plan on how to build an estate.
Then after drafting, you put the paper aside and that’s all this is not effort. But when you purchase land, hire laborers and a contractor to start the building.
Keep a check on them and make sure they are doing their jobs this means you are making an effort. Therefore, your strategy should include making effort and putting in your best
3. Plan to commit your time
The amount of time you dedicate to your investment will determine the level of its growth. There are some cases where an investor may have other investments; this can be a threat as you will have to divide your time.
It is therefore advisable for investors to give their time and focus on one investment until they make enough progress before building another.
4. Plan to commit your fund
This may not be easy as many investors who wish to establish one investment or the other usually lack capital. Sometimes, if they commit the little they have adding more funds where necessary becomes too difficult.
So you need to plan for funds, with adequate knowledge of your investment you will be able to know the initial capital to invest. How much you will need to add as time goes on or from time to time?
You may not get the required result if you do not add those funds. So, you have to plan on committing funds to the growth of your investment.
5. Create awareness/market your investment
What type of investment are you establishing? Some investments need public awareness and patronage for you to achieve success. While some investments only require that you commit your fund and watch it grow.
For instance, stock investment and fixed deposit only need the amount of funds you commit to grow. While other investments like commodities, real estate, schools, and industries need awareness for growth. You need to include creating awareness in your investment strategy.
Be conscious of competitors by letting the public know that your product and services exist. The more they patronize you and purchase your product the more you gain revenue
6. Relate with expert investors
Plan to relate with other investors who are there before you so that they can help your products become visible. They can do this by promoting it on their platform since they are already in the industry and have gained much awareness.
They can also give you feedback on what other things you need to do that can promote your investment. For instance, give you feedback on industry trends and help you get on track.
Sometimes, it may not be easy getting these investors especially if you are new or not familiar with them. Then in this case you have to make your product and services more appealing to the public so that they can vouch for you.
7. Build your risk tolerance
Plan to keep pushing and encouraging yourself notwithstanding the risk you may encounter. You are setting a new strategy because the old one has failed so train yourself to accept risk.
You can easily do this by planning on a long-term investment which usually takes more years. If you place your investment on a long term you will be able to develop an aggressive level of risk tolerance.
This is being ready to take risks at all odds with the hope of gaining huge rewards. With this, you will cover every risk you may encounter on the long race.
8. Regularly access your investment
Keep a regular check on your investments, and from time to time review them to know where you need to update. We are in the modern era where changes occur regularly. You need to keep up-to-date with the changes; it is one way of following the industry trend.
9. Know what works best for you
This is very important; every expert investor you see out there each took a different method to excel. So in the long run, keep monitoring your track of progress that is the process you pass through.
This is your workable strategy, so that when you reach your goal you will repeat the process over and again. It becomes what works best for you.
10. It is important you diversify
Diversification of investments is a way of generating more revenue and minimizing risk. However, when diversifying, collect related assets so that they can be easy to manage.
Diversifying assets requires time, you have to commit your time to see that each asset receives adequate attention. This is a way of achieving your proposed goals.
Conclusion
You must draw out a map of how you intend to invest. In all this, while trying to accommodate the above strategies it is important to rely on one common strategy.
The buy-and-hold strategy stands out as a foundation that will accommodate all that is listed above. It is a method of investing over a long period allowing you to overcome losses and gain huge returns.
