Whether you’re thinking thoughtfully about your “word of the year” or setting new year’s resolutions or deciding on your favorite Chinese new year rituals, it’s clear that the start of a fresh year is good news for getting a fresh start and a fresh perspective.
Making better financial decisions is one of the most popular resolutions out there (behind losing weight and self improvement, naturally). Here are 5 new year’s-inspired resolutions we think you should consider putting on your list.
1. Learn about a new sector/industry new this year.
We’ve talked at length about how our investor application helps you find undervalued investing opportunities in all of the sectors and industries in the stock market. But it’s hard to make smart decisions about sectors & industries that you have no context or understanding of. (And, some of the lesser-researched areas of the market experience less volatility, which can be a wonderful thing.) So make it a priority this year to learn more about a sector or industry that perhaps intrigues you. Even if you just picked 1 industry a month, that’s 12 new areas to invest in over a year.
2. Lose weight – in your portfolio.
Weigh loss is always a hot topic in the month of January, but we can shed some weight in many areas of our life. When it comes to your portfolio, do you have some extra weight that you are dragging around and weighing down your returns? This is your reminder to take a big picture look at all of your investments and make sure that you aren’t carrying any funds or stocks that you don’t want anymore or that could be better placed elsewhere. (We don’t want to encourage selling for selling’s stake, but it’s good to check on your process out on a regular basis.)
3. Revamp your news sources.
Fake news is the new news, it seems, so this year is the year to check where you are getting your news, and make sure that you’re getting the best information possible. Unfortunately, we have to tell you – the best news sources for fairly unbiased reporting are those that you have to pay for (Wall Street Journal, Economist being a couple of great examples) so consider setting aside some budget this year to help support quality journalism.
4. Find a stock buddy (or, buddies).
It’s proven that we are more likely to achieve our goals when we have someone else cheering us on. Whether you call it an accountability partner or just a coffee chat buddy, consider partnering with someone in your close circle that will join you in your stock journey this year. You can use each other to bounce off ideas each other, or just share resources and finds. Be sure at the start of any buddy/partnership to talk about your personal investing philosophy and risk profile, so you can establish boundaries and prevent trying to pressure your buddy into an investment that isn’t a good fit for them.
5. Have fun.
Last but not least, stock investing and planning for retirement or riding the waves of market volatility can be quite taxing emotionally. So we want to encourage you to find ways to have more fun this year. When is the last time that you’ve laughed uncontrollably? Step away from the stock charts now and then and go out to enjoy the life that you want these investments to fund.