Investing for Growth
“It’s not whether you’re right or wrong that’s important, but how much money you make when you’re right and how much you lose when you’re wrong” – George Soros
If you’re investing for capital growth, you can be sure that your money will never grow in a straight line. We believe that good investment is about losing less during the bad times (there will be many) as it is about making money in the good times (there will be many of these too). Simply buying an investment and holding it for years will rarely prove to be the most successful tactic.
Capital growth will not happen by accident. It needs to be encouraged. Our job is to try to find the right mix for the right time. There is a time to be brave just as there is a time to be cautious. We will try to find growth from different sources too. It’s not just about finding stocks that go up. Longer term growth is greatly enhanced by reinvesting bond yields, interest payments and, yes, stocks that go up. Most of all though it is about avoiding the “torpedoes” that can destroy years of hard work in a short space of time. Diversification of investments is key. We never forget this.