While My Solo 401k Financial offers various retirement account products each for different purposes, we educate our clients on each product so that they choose the right plan for their investing needs.
The following investment principles are often stressed by our owners and staff.
1. Set goals
Setting clear goals is important
It is important to set investment goals whether investing in in your business or alternative investments such as real estate, precious metals and promissory notes.
By setting clear and realistic retirement and investment goals, you will be able reach them more quickly.
Diversify your funds
Don’t invest all of your retirement funds in one asset. The key to investing is balance; therefore, diversify into various investment types in the event that some investments don’t perform as well as others.
Because all investments involve risk, it is important to manage risk and reward when self-directing your retirement funds.
3. Reduce fees
The lower your fees, the more you will have to invest in your business or in various alternative investments. It is often said that when you invest in what you know, you are more successful personally and financially. Still, you cannot always control investment returns but certainly fees.
4. Stay the course
Don’t be distracted by what others are doing (e.g., the Joneses) and stay disciplined
When investing in your own business or self-directing your retirement funds, gains may not come overnight so it is important to stay disciplined to be a successful investor or entrepreneur over the long term.
To exercise discipline means accepting the fact that it takes risk to produce returns over the long term.