INVESTMENT

How to achieve investment success now and in the future


Following the policy in real life:
It’s hard to say

I am a financial advisor to Vanguard Personal Advisor Services, but I am a Vanguard investor, so I have experience
Rise-fall in the same market as my clients. Sometimes it feels like I dared to climb the extreme roller coaster
Baby – jaw-dropping ups and downs that have no end. Truly a wild journey.

Wild market oscillations can test even the most intelligent investors, I included. During the recent market volatility, I was
Continuous principles to help keep myself steady and focused – which I can control continuously
As I proceeded towards the goal of buying my home.

Principle 1: Goals

We all have goals কিছু some short-term, some long-term. One of my short-term goals was to buy a home, so I saved
Aggressive over the last few years. My long-term goal is to achieve financial independence in retirement,
Which is an ongoing journey.

When market volatility hit at the end of February, I was already house-hunting. I had cash in my hand for which I had saved
This goal – and I did not want to jeopardize it – but I saw the opportunity to invest some of that money in the long run
When the market was down.

So I put pen to paper to re-work my “cash plan” and realized that I would be able to invest some of that money.
Market long term (aka “house fund”) without risking my down payment. I even factor in one
A few of those new homeowners are spending shocks, I’ve just heard so much.

As I see with my clients every day, it is not uncommon to save for multiple goals at the same time. But stay
Having clear goals in mind and being realistic about how to achieve them prevents me from making mistakes that can
Otherwise derailed them.

Principle 2: Balance

Want an investment to be successful?

Our advisors can help you reach your goal.

In the midst of market volatility, I have focused on 2 aspects of my portfolio that I can control: asset distribution and diversification. My asset allocation needs to help me for long-term financial independence in retirement while supporting my short-term goal of buying a home. And diversifying my assets will not only help me achieve those goals, it will also help my portfolio rise and fall in the weather market over time. These 2 important portfolio features are the key drivers of long-term investment success.

Maintaining a balanced portfolio (and a balanced mindset!) Has helped me focus on the bigger picture: making sure I have enough money for down payment in my home and making long-term investments.

Policy 3: Cost

Market performance is important, but you can’t control it.

Cost matters, and you can control it – whether you’re buying your first home or investing for leisure. Low
The greater your cost, the greater your share of the return on an investment.

Part of managing your costs is choosing low-cost, tax-efficient investments and products. Time to save for me
At home, I opted for a low-cost Vanguard Money Market Fund. And when choosing investments for my retirement goals, I
My employer plans have been focused on low-cost, widely diversified vanguard index funds. When I contributed
My Roth IRA, I have chosen a variety of ETFs (Exchange-Traded Funds) for their trading flexibility and real-time pricing.

Principle 4: Discipline

Maintaining discipline towards long-term investment plans, even in the face of market uncertainty
Investment is key to success. In my opinion, discipline is the most important pillar of success.
Without it, even the best investment plans would be flat.

This year, I’ve experienced the challenge of having a disciplined double. It was hard to aim to buy my house
Remember when I had the cash to invest in the down market. Like other investors, I was tempted to buy less. It was
It’s hard for me to balance my portfolio by selling “winners” and buying “losers” in an effort to maintain.
My goal is to allocate resources.

It wasn’t easy to maintain this discipline and stay on course, but I had to make noise. And that’s me
Encourage my clients to do the same.

So what happened to the home fund?

Follow your goals!

With the Vanguard Personal Advisor service you will have access to an advisor whenever you need one – and they will always work in your best interests. We will help you follow 4 investment principles to get you where you want to go.

I took my hard-earned savings and bought a house in the midst of an epidemic যা one I will never forget. My stomach was knotted for a few weeks – and my back was moving – but I’m home now because I’m stuck on those 4 principles.

And although I have met one of my goals, I still have more to achieve. I am continuing to review my asset allocation and
Variety to make sure my portfolio is balanced and on track. When I focus on spending, and I rely on myself and others to help me stay disciplined in achieving my financial goals.

Following Vanguard’s investment policies (and industry friends who are sure to practice what I promote) has helped me achieve my goal of owning a home. My new home is proof that I’m not just talking about those investment principles – I live by them.

Comments:

All investments are at risk, including the potential loss of money you invest.

Diversity does not guarantee gain or protect from loss.

Counseling services are provided by Vanguard Advisors, Inc., a registered investment advisor, or Vanguard National Trust Company, a federally chartered, limited purpose trust company.

The services provided by clients selected for ongoing consultation will vary depending on the amount of resources in the portfolio. Review the form CRS and the Vanguard Personal Advisor Service brochure for important information about the service, including its resource-based service level and fee breakpoint.

The Certified Financial Planner Board of Standards Inc. owns CFP® and Certified Financial Planner cert in the United States, which rewards individuals who successfully meet the CFP Board’s initial and ongoing certification requirements.





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