Archive | June, 2015

Do You Have The Mindset Of An Investor?

22 Jun

Different Types of Mindset

When you work for a company your focus is on doing the job and being paid for the hours you spend working. You have an employee mindset.

If you own your own business you are often working in the business wearing several caps as marketing, sales, product or service delivery, answering phones, invoicing. If you have a few staff then you have to ensure they have work, good working conditions, provide training and ensure they are paid. You are a jack of all trades and have the mindset of a small business owner. If a small business owner tried to run the business with the mindset of an employee the business will fail.

Large business owners have a different mindset to small business owners. They have to deal with branches, divisions, different managers. Their business focus is not on knowing how every job is done in their business but it is rather on looking at the business as a whole and ensuring they have the key people within their organisation who can handle the day to day running of the business. Continued growth and development of a business is the focus for a large business owner.

Being an investor means you do not work for money but rather have money work for you. It is your decision where to invest your money and what return you want on it. If you don’t make money then you don’t have an income. When you look at a business through the eyes of an investor you are looking at how quickly you will get your original investment back and how much interest you will make on it. You have no interest in Mr A being on sick leave, or Mrs C on maternity leave. You have no interest in excuses for not delivering the performance expected. All you’re interested in is the return you receive on your investment is within the agreed timeframe and is equal to or greater than promised.  You are looking at all the opportunities around you in which you can invest.

 

Changing Your Mindset

Whatever your current mindset you can learn and develop the mindset of an investor through practice, games, working with a mentor and reading investment books.  Mixing with experienced investors gives an insight into the way they think but the change comes when you take action and start investing.

 

Karen Newton is an Investor, Speaker and Author. For more information visit http://www.karennewton.co.uk

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Take A Holiday

11 Jun

An acquaintance of mine is a share trader and spreadbetter. He watches the financial markets from the early hours of the morning until late at night scared he’ll miss an opportunity on the markets. He is never far from his phone, several laptops and an internet connection. When he goes on holiday with his wife he takes all his equipment with him. His wife enjoys the beach while he continues to work in his hotel room. Having just turned 30 he knows he has only a couple of years left before he burns out and has to start looking for something new to do.

On the other hand, an investor and one who invests for cashflow, the ups and downs of the markets is not as important because they are more interested in when the next dividend is being paid and how much it will be.  As with any investment, however, it needs monitoring which only takes a couple of hours a month compared to trading which is every second of the day. Taking holidays is much easier and more beneficial.

We all get tired in our working lives. Tiredness affect us all differently. For some our brains shut down making it difficult to process information correctly. Sadly, we are just too tired to realise it. Others get grumpy and irritable affecting their relationships with those around them. As an investor we need to try and be at our best as much as possible to get the best performance from our investments and see opportunities as they arise.

One of my earlier business mentors recommended 7 weeks of work and 2 weeks of holidays. He said start with 2 weeks holidays. In week 1 you wind down and relax. In week 2 as you relax your subconscious mind takes over and business ideas start to flow. For the following 7 weeks at work you are implementing your new ideas and strategies, monitoring them, tweaking where necessary and improving your business. Then you start the whole process again with another 2 weeks of holidays.

Why does the holiday system work?

When you are at your place of work you can always find something that needs to be done rather than working on your plans. Being away from your investments and place of work allows you to concentrate without distractions. Without distractions you are often more creative in your thinking and more focussed.  Isn’t it nicer to be doing your planning on a warm sunny beach?

So if you aren’t getting the results you wanted in your business and investments maybe it’s time to take a holiday just don’t forget the pen and paper.

Karen Newton is an Entrepreneur, Investor, Author and Speaker.  For more information visit

http://www.karennewton.co.uk