Fear of missing out can be a powerful force in investing. Everyone hears stories of those who struck gold—buying Amazon or Microsoft for pennies—and wonders, why didn’t I see it? The reality? These big wins rarely come with flashing signs. They emerge in uncertain markets, when hesitation is high. Smart investors can’t predict market swings, but they can position themselves to be prepared to seize opportunity when it comes.
Why Diversification Matters
Smart investors spread their bets. Some investments won’t grow. Others will do fine. A few will thrive. A mix of stocks, bonds, and other assets increases your chances of growing your portfolio without betting everything on one company.
One way to diversify investments is with the core-satellite strategy. Keep your core investments grounded with solid index funds. Then, add high-growth investments around them. These “satellites” offer potential growth while keeping a more conservative base.
Patience: The Investor’s Edge
A client once asked, “When should I sell?” My answer? “Probably not as soon as you think.”
The biggest investment gains take time to show. Markets swing. Prices drop. People panic. But history favors the patient. The best way to stay calm? Automate your investments. Set up dollar-cost averaging—investing a set amount regularly—to smooth out volatility. Remember, “money is like a bar of soap – the more you touch it, the smaller it gets.” Excessive handling, frequent trading, and unnecessary transactions can erode wealth over time.
Be Ready When Opportunity Knocks
Someone I spoke with recently said, “I found a great investment but didn’t have cash.” That’s why an opportunity fund matters. This way you can act fast when the right deal appears.
Most people think investing is about picking the perfect stock. It’s not. It’s about positioning yourself to succeed. Smart investors don’t wait for opportunity—they prepare for it.
Want to be ready for the next big opportunity? Let’s talk about how to set up your portfolio for success. Sign up for a discovery call at profile-financial.com/call, and let’s build a strategy that works for you.
Douglas Goldstein, CFP® is the director of Profile Investment Services, Ltd. www.Profile-Financial.com. He is a licensed financial professional both in the U.S. and Israel. Call (02) 624-2788 for a consultation on how to set up your American assets to meet your financial goals. Securities offered through Portfolio Resources Group, Inc. Member FINRA, SIPC, MSRB, FSI. The opinions expressed are those of the author and not those of Portfolio Resources Group, Inc. or its affiliates. Neither PRG nor its affiliates provide tax or legal advice.
Published May 7, 2025.