- Investing School - https://investing-school.com -

Passive Investing Convert

I apologize for the lack of inspiring posts lately but I have a good reason for this behavior – I haven’t been thinking about investing much because I moved a chunk of my net worth [1] into passive funds.  Instead of being very in-tuned with the stock market, I was beginning to be a passive investing convert.

For years, I’ve been buying stocks and while the investments were profitable, it was flat out stressful.  I didn’t know how much it was consuming me but seeing my net worth jump 3%-5% daily was nerve racking to say the least.

It didn’t start out that way though.  At the very beginning, I was excited to see that I could make money in a hurry.  Some days, it was awesome, but other days, it just plain sucked.  I realized that in order for stock trading to be profitable, I really had to stay on top of the investments.  It didn’t give me freedom.  It was another job and a very demanding one at that.

As I get ready to buy my house in a year or so, I moved much of my assets [2] into online savings accounts [3] and then it dawned on me to start trying passive investing.  With half of my assets virtually safe and another big portion in index funds [4], volatility went way down and  I started noticing that I was happier.  That when the market was in flux, it didn’t bother me anymore.  In a way, I felt like I was living again.  I could play golf without checking on stock prices using my phone.  I could have lunch without searching for places that showed CNBC [5].

Sure, I will still buy and sell stocks in the future, but most of my assets will definitely be in passive funds because even if I can beat the market, it wasn’t worth the time, energy and stress.

If you haven’t tried passive investing, perhaps you should give it a shot.