In all honesty, the reason why I haven’t done much in terms of personal finance lately is because I have been sick for the last few weeks. I barely had any energy to do anything after a long day at work but to rest and now that I am starting to feel a little better, it is time to get back on track.
One of the things I did while I was on my “break” was that I had a TFSA discount brokerage account opened. Instead of relying on my managed mutual funds portfolio, I have taken the interest in managing my own. Here’s the reason why.
Although a managed mutual funds portfolio is an excellent way to start investing for beginners, I feel that it is time for me to move on from it. Ultimately, I expect to yield a return percentage that is much higher than what a managed portfolio can offer.
After doing some research, I have found that most managed portfolios will yield a conservative return of 5% to 10% on average. This may seem pretty good and may be a more stable choice of investing for the long term, if that is your goal. However, I am working on a short timeline and my investments will require more risk taking for me to reach financial freedom within 10 years.
Owning the Seasonal Investing Game
So what is my plan?
My plan is to start investing for the short term. I will do this by making seasonal investments. I will do some research first and make some purchases in either stocks or index funds. At the end of the season, I will buy out right before the stocks or funds begin to drop.
Will seasonal investing work? The answer to this question is that it can. I have seen it worked for some people and seen it fail for others. It will all depend on how you plan to approach this and I will document my strategies here on my blog.
The Long Term Investment Plan
Once I have established enough income from seasonal investing, I will move towards a more long term plan. I will put all my money towards a strong and stable portfolio that will generate returns in autopilot. This will free up my time for other investments such as properties and businesses.
I am so excited to get started on seasonal investment. My plan is to track my progress and keep you updated on what is next to come.
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