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- Nourish Your Roots Newsletter Issue #9
FeAr Of MiSsInG oUt
FOMO
ISSUE #9
What I like about being a dividend investor with clear goals, intentions and road map toward my vision is that certain influences do not really effect me as much.
When I first learned about and began dividend investing the timing could not have been at a worse time. After 3 months of investing BOOM pandemic happens market is up in flames, everyone is selling and watching their investments drop faster than a falling knife. I will be honest it was horrifying to watch that happen but at the same time, I kept telling myself that it will come back up it has to. Mostly because there is no way that my luck would be so bad that the opportunities in the stock market would blow up right when I started. Furthermore, one of the key concepts and principals I heard repeatedly while trying to grasp the concept of dividend investing was do not sell, and buy to hold because something that happens in a moment is just a small blip in a decade long investing grand scheme.
This is when I was introduced to Fear of Missing Out (FOMO). In the news there was so much hype around certain stocks (I say it this way because I cannot remember what I personally was reviewing at the time), some who had the best potential to bounce back, who was cutting dividends and over all best speculation opportunities. During this time I was buying and selling trying make some sort of foundation in my portfolio. But with all the turmoil it was hard to plant firm roots, although some stocks such as KO, PG, JNJ & MSFT have been with me since the beginning. I also invited in some less than quality companies as well.. which taught me some valuable lessons.
Fast forward a few years and I found a footing and was building and expanding on my dividend snowball compounding machine. Another hectic time period would come up surrounding GameStop (GME). Where the value of the company rose so quickly it set off a chain of events that the investing world would be reeling from for months afterward. During its insane rocketing I was watching the news coverage and people arguing about the situation. It was clearly evident during this time that FOMO was very visible as many people were scooping up “meme stocks” such as GME or AMC and screaming DIAMOND HANDS from the roof tops. To me.. this whole ordeal was comical and I sat on the side line.. while the “meme stocks” got halted for trading I picked up more Procter & Gamble that day..but I didn’t join in the frenzy of missing out and stuck to my roots and kept growing my tree.
Everyday, every time I open a social media app that I utilize to communicate with people about investing, I see a wild amount of suggestions and the “next big stock that if you do not jump on the bandwagon now you will miss out in 10 years”… at the end of the day we are all on our own path, we all feel the fear of missing out but its how we react to it that is one of pillars of what makes a good investor.. at least I think so.
How has FOMO effected your investing journey? I would love to hear how you experienced it at any point in time and how you reacted to it.
You can always reach out to me through email ([email protected]) or through X or Twitter @DividendRoots… I don’t know what to call it…
Nourish Your Roots.
-Gio
DIVIDEND DATA UPDATE
Click here —> ROOTS PORTFOLIO
Overall Comments: I am going to do a portfolio update at the end of the month instead of the week, too many little snapshots sometimes misses the bigger picture 🙂
X HIGHLIGHT OF THE WEEK
This section is dedicated to a X member who offers meaningful, thought provoking finance, educational, content while maintaining a positive attitude and supporting members of the community. I suggest giving them a follow and checking them out
X Profile Spotlight :
The spotlight for this week is awarded to @DrunkDividens. Anything is possible as long as you stay consistent. It doesn’t matter what age you are.. you can always gain experience and insight into what interests you and turn it into a success. Drunk Dividends embodies this notion and supports its foundation that consistency helped him overcome any obstacle and pave his path toward endgame.
I reached out to Drunk Dividends and asked him about what advice he would give someone who is starting to invest in 2024. He responded with
“I'm a startup owner and run multiple businesses, so people always ask me for business advise. I think the one thing I tell people the most is:
Just show up every single day and that's 80% of the work.
If you can only invest $1, that's fine. But just stay consistent every single day, week, month.
"Better than yesterday, not as good as tomorrow"”
Sometimes the easiest path toward your goals are the most clear and concise ones. Drunk Dividends affirms this by sharing a concept that we discuss in this newsletter frequently… which means it must hold some merit..right? Consistency is king in almost any field if you want to get good and show progress in it.
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Resource Center Section
Tools that I utilize
These websites and apps listed below I personally utilize on a daily basis for research, news and portfolio tracking.
Investing Spotlight Dividend Tracker/ Budget - refined and very useful tool for tracking dividends and budgets. Highly recommend as this tool offers many different metrics to track so many different aspect of your journey!
www.thedividendtracker.com - easily one of the best tools that I use to research dividends and its very beginner friendly. The free version has exceptional options available to you for taking a deeper dive into stocks and keeping track of the progress of your portfolio over time. There is a paid version you can upgrade to and offers tools such as a payout calendar, calculators and much more! Definitely worth checking out. Also comes as an app 🙂
www.seekingalpha.com - an excellent website tool that offers some seriously in-depth analysis of stocks that you research. There is a free version for some simple portfolio tracking and a paid version that offers way more options such as comparisons to other stocks and history and way more! Also comes as an app. 🙂
www.finviz.com - great tool for screening stocks, getting charts and graphs and comparisons. If you want quick or indepth analysis this is a great tool to have access to. PLUS its free 😄
Div Tracker App- Free app decent tools/ paid version offers some extra tools. Allows for quick tracking on phone or tablet and has a payout calendar which is always fun.
Book Corner
The books listed here are ones that I have read along my journey to teach myself investing principals as well as develop a better understanding of financial literacy. This list will be ever growing 🙂
Podcasts
List of Podcasts that are great for beginners and veteran investors that I listen to daily. They offer book reviews, stock reviews and thought provoking discussions. I usually listen in the morning on the way to work and on the way home from work, then i can sit and reflect on what the podcast is talking about.
Brokerage
Charles Schwab
Robinhood
Fidelity
Photography Highlight of the Week
