Georgina Read is an EasyEquities user who seeks to dissolve the stereotypes associated with investing, and encourage women to empower themselves financially. Here she highlights some key points for women to consider when shopping for shares...
“Ladies, when it comes to share shopping, it is easy to find yourself stuck in indecision. What should I buy? There is so much out there and really, I don’t know much about the markets, I don’t know what does well and what doesn’t… and so the self-talk goes. Then another month passes and the same self-conversation happens. This is the trouble with doubt. It stops us from DOING anything – because, what if I MAKE THE WRONG DECISION?? Gulp! Help! I’ll lose ALL MY MONEY! End of my security, end of my future. By the time you reach this part of the self-conversation, there is just no way you will buy anything. You’ll put it off again.
Pausing the cursor over the “buy” button – have you been stuck there? Should I or shouldn’t I? The simplest way I found to get around this doubt and hesitation, is to already know what you want to buy, before starting. Before even logging on. Do your research BEFORE it is time to shop. Now I know you are already sweating when I talk about research – but what I really mean is, know your shopping goal. In the same way you shop for food – is it for a party? Your dinner tonight? The week’s groceries? Each purpose will result in a different kind of shop, with different purchases. So what are you share shopping for? Retirement? Trading? Quick cash? Fun? Long Term? There are thousands of goals to have. Each one will influence what you buy. When you know the goal though, it directs you to what to buy and chases doubt out the door.
My own strategy for my first three years of buying equities is simple. I am creating my own All Share Index. That’s what I like to call it. My All Share Index is made up like this: 20% financials, 15% industrials, 15% basic minerals, 15% consumer service, 10% property and 15% technology. As I shop in these categories, I just keep balancing out the percentages – that’s what leads my decisions. I have a look at which percentage is “out of whack”, then I decide which company I want in that category and I press “buy”.
I know it is not perfect, I don’t know the outcome, but I am sticking to it! As I do, so I learn more and more, easily in my time at my pace. Choose your shopping goal and stay on track towards it. It levels out the doubt. It is the perfect way to build confidence and you won’t even know it is happening.
So tell me, what are your goals?”