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Seriously not serious

 You really cannot take this whole investing thing too seriously, there's just too much that's outside your control. 

But, I hear you ask, how do I not take it too seriously? I mean, this is my fortune, my family's future. How can I not take it too seriously? It is serious, man. Deadly serious.

Sadly, the deadly part of that quesyion is too often correct.

Here's how not to take it too seriously. There's 2 steps.

One. Be smarter than you are right now. No, I mean it. Learn something new every single day. It doesn't matter where you decide to invest, learn more about that sector every day. Always be a student. AND always be ready to pass on what you have learnt, always be ready to be a teacher. Others will benefit from your help, advice and wisdom (with the caveat on wisdom that you will still get it wrong from time to time).

Two. Do NOT put all your eggs into one basket. Okay, if you are playng in the stock market, you may have to invest in just one company just to build up your bank. However, once you have sufficient capital, spread your investment. Yes, they can all be at the speculative end of the market, if you wish, but your investments should be across multiple companies. That way, if one company goes bust or has a significant downturn, you only lose a little. If you have all your capital tied up in one mining company and they look like they are doing really well and then suddenly it is all gone and your shares are worthless, thenyou have lost everything.

For example, about 10 years ago my father invested a couple of thousand dollars in a highly speculative stock in New Zealand. I still have those shares on my books, and they are currently worth less than $100 (the truth is that there is nobody out there willing to buy those shares anyway, so they are basically worthless).

I am glad he only had a couple of thousand tied up there and not more.

He believed the hype, but he was cautious.

A little caution may mean that you get to take the whole thing a lot less seriously.

The same applies no matter where or how you invest. Don't put your entire capital on the line in one go.

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