5 Reasons Why Stock Market Is A Lot Like Love (Just Don't Do The Suggestion of Number 2)

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It is not yet Valentine’s day I know but every day is an opportunity to love. More like every day is also stock market day especially to our dear investors out there except during the weekends. They too need to rest after all. But truth be told, stock market is also like love. According to Lippig of DailyTarHeel, it fickles in the short term and gainful in the long term which is both a yes in the field of love and stock market.

Perhaps you might wonder how love is related to stock market. Here are the reasons why. You might even be surprised how directly related they are.

1. It is an investment. Needless to say, going in to stock market and love is an investment. The only difference here would be what you invest. For stock market it is your money and your time, for love it is your feelings and well also your money and your time. I can still clearly remember a conversation wherein a friend states that love is indeed free but being in a relationship is not. After all, you both need to go out on a date, watch a movie and dine out. And those activities entail costs. At the other side of the spectrum, when you lose your money in the stock market, it pains us much like love. If he or she breaks up, that is one painful experience especially if you poured in all your heart and your feelings to the relationship. Ouch!

2. There is risk. In both situations, there would only be two outcomes. It is whether you gain or you lose. In stock market, there are companies that will help you gain while there’s also that risk of losing everything. This also holds true for love. You can never say that your current relationship would be your last. There’s risk involved whether the two of you are really meant to be. As they say, you can always diversify in the stock market arena but you can never do this in relationships. Diversification is not the answer to lessen your love risk. Never!

3. Rise and fall. Ever wondered why your partner is so loving the other day and why he or she is so different today? That’s the rise and fall in any relationship. You can’t always be in cloud 9 with each other day after day. This is also applicable in stock market. You can’t always expect that the price of a certain stock would be increasing by the day. There would come a time when the law of gravity would pull it back. So be cautious about the rise and fall of emotions and also with the stock market value.

4. Results are not overnight. If you want to really maximize love and stock market, invest on it for years. The longer you are in the relationship, the higher would be its reward. Same goes with the stock market. If you want your money to really work for you, don’t just buy stocks and sell it after a few hours or days. Make sure you get to let it stay there longer especially if you are dealing with blue chips and you certainly trust the company.

5. Get to know more about your partner. In order to be successful in a relationship and in the stock market, make sure you get to know your partner more. When you bought stocks from one company, be in your toes to know more about the company such as its latest news. Remember there are technical and fundamental analysis here that are worth looking at. Same goes with your partner. Make sure you gauge his or her likes and get to know him or her more. This will help cultivate your relationship and you can be able to understand your partner better.

There are indeed many similarities between the stock market and love. However, just don’t diversify your love portfolio like what you do in the stock market arena. Bottom line here is to better understand stock market connect it with love. Oh how I love love.

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P.P.S To those doing the 52 Week Money Challenge and 52 Week Money Challenge Version 2, it is Week 43 already! Did you deposit the next amount yet?

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