Investing is an imperfect science. In the ideal situation investing would come with a script and we could plug some numbers into an equation and determine which investment would be the perfect fit. Then we would wait out the returns and retire with a large bank account. But we are typically left to our own devices to find the best arrangement for our retirement planning. This can lead to the temptation of looking for shortcuts, not paying attention to our investments, being greedy, or any of the other 7 deadly retirement sins. However, we do have guidelines to help us with our retirement planning. Consider these seven virtues of investing.
1. Chastity. Chastity is an age old virtue that relates to purity, knowledge, honesty, and wisdom. Chastity involves living within your means and avoiding debt and overextending your finances. A chaste investment is one which is based on research and solid investment principles. It is not an investment that is made out of greed or dishonest intentions.
2. Temperance. Temperance can be equated to self-control and abstention. In investing, temperance can involve a well-planned and balanced investment portfolio. It can also mean maintaining a good credit score, avoiding debt, and living within your means.
3. Charity. Generosity can help counterbalance one of the most dangerous investing sins: greed. Greed can lead to high risk investments, falling for scams, and chasing returns. Charity, on the other hand, helps people focus on the end result of the investment. Instead of focusing on acquiring more, you can focus on how you can use the proceeds of your investment to improve your life and make the world a better place.
4. Diligence. Diligent investors have an advantage over lazy investors: They have a clear and defined purpose, research their investments, and regularly follow their investment plan. They also rebalance their portfolio and work on maxing out their retirement plans, even when the economy is struggling. Your ability to invest in good times and bad will pay off in the long run.
5. Patience. Patience means being able to accept changes as they occur. It can mean waiting out an investment, or it can mean recognizing a losing situation for what it is and pulling the plug. Above everything else, patience means seeking solutions, not passing blame.
6. Kindness. Kindness can include the traits of satisfaction and integrity. This virtue is a trait found in people who are satisfied with their achievements in life and are focused on family and relationships, not on acquiring more money or things.
[See 7 Deadly Retirement Sins.]
7. Humility. It’s tough to swallow your pride, but it can be one of the most important things you ever do. Coming to terms with the fact that we don’t have the answers for everything can be difficult, but also life-changing. Whether you want to learn how to become a millionaire, how to invest, or how to plan your estate, a professional money manager could save you time and money. A financial professional can help you create a retirement plan that will protect you and your family throughout your golden years.