INVESTING IS A TEST CRICKET
The topic is completely related to investment compared with the cricket test match. Many of you might have been interested in watching a test match till T20 introduced.
You also would remember that watching Australia tour test matches at 4 am in the morning. The craze has over-ruled nowadays by ODI and T20 matches.
Test cricket teach us a few things, which every investor should learn and apply in the investment journey.
1. Overs are unlimited to play:
A team can play the complete 5 days and 90 overs in a day, until you lose all the wickets
In the same way, there is a lot of time in the investment journey as long as you quit it.
As long as you stay in a test match, you can add runs to the scoreboard. Same way, the long runway make your investment to grow.
The investing legend Warren Buffet, who started investing at the age of 14 became a millionaire at the age of 58. So, you have to play long in investment journey to achieve the goal
2. It is not to hit 6 always like T20’s:
In test cricket, more scoring 6’s always the aim is to stand long and score consistently.
Investments also lie under the same case discussion. It doesn’t a high growth of 20%, 30% in a day. It should be CAGR of 15-20% per year for 30 years will make you a millionaire.
You should focus on slow, calm, and steady accumulation of wealth. The main aim to achieve the goal as desired.
3. Being patient always:
Doesn’t matter how the match conditions move, keeping the patient will make the match into your hands.
Investors should develop this unique character which will protect them from dealing with their emotions.
The common emotion is FOMO – Fear of missing out. This makes to buy a share or entering into the market in a void condition. There is nothing to miss.
Always opportunity will touch your feet. Be patient and take it to your hands.
4. Wait for the Right Ball:
As a batman, you have to wait for the right ball. Not all the balls are intended to play. The right ball at the right slot is your opportunity to score runs.
Investors too should wait for the right market condition to park the funds and into perfect investment materials.
Investing in a market bubble will blast for sure. So, wait for the right opportunity.
5. There is always a second chance:
In test cricket, there is always a second innings, to safeguard your team and to be stable.
Same way, in investing not only second chance there are multiple chances to make you lift.
You should clearly understand, the real opportunity lies in the bear market. It is always a learning process in investment. So, small falls should happen and will happen on this journey.
It will check your appetite level and if you could overcome the hurdles, the second chance will be a fruit-bearing one.
6. It is not about win or lose, Draw is also equally valid:
Only in test match cricket, there is an option of Draw, which means the victory is shared between two teams.
Same way, the most important in investing is not in achieving win or lose. It is always on achieving your goals. Your goals should be the fuel for investments.
There is no measure in the market to scale you as the winner. You yourself have to self-analyze the achievement of the goals.
· There are many important which you can learn test cricket towards investing.
· Invest in the long term and have a long runway. Damage is minimal.
· Be patient, consistent and play slowly in investment.
· Wait for the perfect opportunity.
· Investing always provides you multiple chances.
· It is not about winning in investment, it is all about achieving your goals.