Thursday, January 10, 2008

What are my guiding principals?

So, I am guided by several principals when it comes to money.

1) Live for Today. Plan for Tomorrow.
This means that I am not anti-consumerism. In fact, I like to spend, and am very willing to buy the various luxuries in life. However, my spending is balanced with diligent savings. I try my best to put money aside into a savings account at all time. Also, I am quite diligent in saving for retirement.

2) Invest for the Long Term.
I am young. I am willing to take risks. I focus on the long term. This is also a lesson I learned when I visited with Warren Buffett, one of the most important names in investing. He invests for the long term, and look for investments that he believe would do well for a long time. This means that despite my prior profession as a stock trader, I do not focus on day-trading. Quite frankly, that takes too much work. I do not have enough time to do the homework necessary to do that.

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