Consistency is important to anyone who wants to be a great investor, as it is the ability to follow through on your initiatives and ventures without stopping. Consistency cannot work unless you force yourself to act on something every day, week or month. You must keep to your plan until you form a routine.
A consistent investor is disciplined, focused and aggressive. If something doesn’t go according to the plan, he or she investigates the true cause. Although factors beyond an investor’s control can make their project flop, lack of consistency is the most frequent cause. So, one key to success in your investing career is gaining the power of consistency.
Benefits of consistency
It is a measurement tool – Until you invest in stocks, for instance, for a given span of time and in a constant manner, you cannot know if they work for you. The only way to decide if your project is worthy is to maintain consistency. It may take some time to gauge the success or failure of your investment project, but you will be able to measure results.
It creates responsibility – Following a habit without fail makes us responsible people. The fact that you can stick to your investment plan despite any changes that might occur puts you in charge. In other words, consistency gives you a sense of responsibility. Hence, you know what you want, things to do to get it and how to be persistent until you do get it.
Creates a good reputation – People who keep dropping the ball or don’t walk in integrity probably won’t become reputable investors. Many of their efforts stop before they can establish a track record of success. As you can guess, having a good reputation could only come after learning to be consistent.
Triggers success – You can use consistency to become successful at every endeavor. By taking actions without fail, you are going to reach every investment goal you set. Regardless of how big or small your action might appear, doing it routinely will produce the result you want.
How to be consistent
To achieve your goals, act steadily without stopping. However, avoid taking big actions in a sporadic manner, as you might find it so hard to keep pace with everything. Instead, break the big actions into small activities that you can do daily. After a short while, you will be in the flow and hopefully enjoy every bit of it. If you act sporadically or irregularly, there is a good chance that you will struggle to remember how you did it last time.
Acting consistently makes you think long-term. Make a list of things you can do every day or week to progress toward your investment goals. Starting with the simplest actions is important when trying to form a routine. For instance, you can decide to save only $50 a week until you accrue enough project money. Once you get comfortable with it, you can increase the amount to $100. Over time, the routine of saving will become simpler and something you look forward to.
If you have been a poor investor, examine your investment habits and styles. Chances are one reason for the failure is lack of consistency. You may give up when it gets tough or when things look too big for you to handle. If that’s it, make a choice to become a more consistent investor, taking regular action toward your long-term investing goals.