What to do to lower anxiety when investing?
I have always been one of those who argue that the investor's worst enemy in the markets is none other than himself. So anxiety, poor emotional self-management, is what makes an investor more prone to losses when he invests or trades in the asset markets, and that is true to me.
Therefore, by cause and effect law, if what generates poor emotional management is the anxiety of not having enough money to sustain daily life, what hurts the investor is not having money to invest that is apart from what used for your living expenses.
Therefore, what each investor (of whatever type) should look for is to have alternative sources of income to what they invest in, what it means that they should always seek to generate income constantly, so that the variable or anxiety factor is left out of the equation.
Another great truth
Another great truth is that the most successful investors in the markets know very well how to generate income in a fixed and constant way, and beyond the investments they actually and normally make. For example, generating income for me that I invest in the crypto assets markets can be from staking, to writing here on this platform; since they are alternative ways of generating income; modes that are very different from the trading and holding that I do with many cryptocurrencies.
So, in short and emphasizing
The personal monetary stability factor is the one that gives or takes away the investor's anxiety in the markets, and in turn is part of what determines the handling or lack of emotional management of himself. Many think that the anxiety of the investor in the markets is given by the risk factor; and in part it is so; But more than risk, the most importante and essential thing that worry to everybody is about having money to cover their daily needs.
So ... between an investor who has all his money invested in the market and an investor who has a third of his equity invested in the markets, which do you think will have greater anxiety and greater probability of mistakes due to poor emotional management? Obviously the first, don't you see it that way?
And that is when the proper management of capital that must be had in the markets also comes into play to know that what you are investing you will not be overexposing your standard of living.
So having said all this, if you manage to understand it, as an investor, you will also understand that it is necessary for you to put yourself in the task of generating income and liquidity constantly, in order to make calmer and well thought-out investments in the markets, to be able to observe all calmly when the markets are down (as cryptocurrency markets are now), and be able to afford to wait for prices to rise again.
An investor who manages to be this way in the markets has a greater chance of being successful and becoming a millionaire. This is how I see it!
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