☕ 5 time-tested rules I live by when the markets drop

Howdy! 👋 

I’ve been fascinated with investing all my life... what does it take to make money, to build wealth, what does it mean to truly master the markets ... and how do we make that happen. 

Times have never been tougher or more challenging for individual investors.  

Days like today, in particular. 

Everybody knows that. 

The headlines are confusing, the markets are crazier than ever... how do you know which companies to buy or sell, when and how? 

That's the real test... the stuff nobody talks about, right. 

It’s not how you make money when the markets are going up and things are easy. It's how you consistently build wealth when they’re crazy... up one day and down the next. 

So many people have stories about stocks they could have bought but didn’t. Or come to the end of the path without the wealth they thought they’d have because they didn’t invest when they had the chance. Others simply have no idea where to start. 

I’ve been involved in global markets for 45+ years now and if there’s one thing I’ve learned in all that time... it’s this. 

The way to get results is to invest consistently.  

You need a systematic approach ... one that produces results based on the world’s best companies, not Wall Street’s whims, the Fed or seemingly outrageous geopolitics. 

That’s how you maximize your profit potential despite the corrections, pullbacks, downturns – whatever you want to call ‘em. 

Keep it stupid simple. 

You are what you focus on in life and in the financial markets. And if you’re constantly scared, your portfolio will reflect that. 

If you’re worried about not making a mistake and sitting at the crossroads doing nothing, then you’ve already made the biggest mistake of all. The world will leave you and your money behind. 

But if you focus on consistently buying the world’s best companies ... companies that are changing the world ... companies where customers can’t get enough of what they make or sell ... companies that often pay huge dividends and have fortress-like balance sheets ... guess what?  

Suddenly, you’ll be thinking about winning, about profits, about investing in optimism. You'll gladly take that $10 you would have spent buying a double triple cuppa of whatever at your local coffee stand and invest it. 

Look, I won’t pull punches. 

You have 100% control over the approach you take at all times – and that’s where the game is won. We can’t control the world around us, but we CAN control the world within and the choices we make. 

You can make a change right now for one of two reasons. 

First, you can decide you’re going to master the markets. Then go do it. 

Or, second, you can do it because you’ve reached a decision point where you know you’ve got to do something but you’re unsure what.  

Either way, you’re standing on a threshold and you’ve got to break through the fear and uncertainty that paralyzes so many investors today. 

Here are 5 iron-clad, battle-tested, profit-proven rules I’ve developed that can help. 

1 – Get the person in the mirror under control 

People want to blame everything for what’s happening… the President, the Fed, their brokers and so on. 

Try looking in the mirror. 

THAT is the person you need to get under control. 

Keep your emotions out of the equation. 

2 – Know the numbers 

I know today stinks, it’s scary – I get it. 

Here’s the thing. 

We’ve seen this movie so often that we know the script by heart. 

There isn’t a single down day that hasn’t been trampled by the next running of the bulls. 

Saddle up, my friend! 

Investing in optimism beats cowering in fear and history is very, very clear about that. 

After 10 of the worst single-day crashes ever, the S&P 500 was up +30.5% on average a year later, +12.1% three years later and 13.1% five years on. 

Today’s Tariff Tantrum 2.0 is just the latest villain in a very long lineup. 

3 – Know who YOU are 

I’ve said it a thousand times and I will say it again. 

You can be an investor or a trader, not both. 

Decide right now. 

This isn’t about being “right” – that’s a common misconception. 

Deciding who YOU are is about being profitable. 

If you’re an investor, awesome. 

Days like today are an engraved invitation to buy the very best names you can. Perhaps you slow down or buy less than normal as a way of keeping emotions at bay but you buy nonetheless (because you know what I’ve just shown you about how the bulls eventually rule the day even when the bears come out to play in point #2). 😀 

If you’re a trader, equally awesome. 

You can make plenty of money when volatility explodes and, if you’re not, perhaps you’re not who you think you are. Not trying to ruin your day but it’s my job to point out the obvious even if you don’t like it. 🙄 

4 – Buy the best, ignore the rest® 

People are constantly asking me about “hot” stocks.  

Wrong question.  

History shows very clearly that the world’s best companies tend to fall less, stabilize fastest and come roaring outta the hole when the selling's done. 

That’s why you want to own ‘em like I do. 

And yeah… it really is as simple as that. 

Many folks think they’re going to do just fine with ETFs, and that’s probably true over time. But if you really want to make bank, you must add the very best companies to your portfolio.  

Tesla IPO’d on 29th June 2010 and since then has returned 26,655% versus the S&P 500 which has turned in 559%. Nearly a 50 to 1 beat. Every $1,000 invested back then would be worth about $267,500 today. 

Apple IPO’d on 12th December 1980 and has returned 392,015% since. The S&P 500, 5,214%. That’s 75 to 1. Every $1,000 invested back then would be worth $3.9 million today. 

Nvidia began the pivot to AI in 2012 and has returned 56,286% versus 389% from the S&P 500. A 115 to 1 beat. Every $1,000 invested back then would be worth $562,860 today. 

Imagine how different your life could be… your retirement, education, house, vacations, legacy wealth… if you’d put just a little “extra” money in each of these stocks in addition to your ETFs?!  

The markets are open right now which means you have another chance… right now! 

Don’t have a decade or more, let alone decades plural? 

Fine. 

Doesn’t change my point. 

Palantir went public just over 5 short years ago and has returned 1,689% since then versus the S&P 500 which has turned in 104% over the same time frame. Every $1,000 invested is now worth $17,890. 

Your job on days like today is to Buy the Best, Ignore the Rest®. 

History, btw, suggests that there are 10-15 “Nvidias, Teslas and Palantirs” out there right now which is why keeping your cool and your focus is critically important.  

If you have this covered, great. If not, you may find One Bar Ahead® helpful. Members tell me regularly that it’s changed their perspective AND their lives. 

5 – Volatility is the price of admission for real wealth and successful investors 

The markets are the only store on earth where people fear a “sale.” 

Crazy, right? 

Buy low and sell high is how you play the game to win. 

And to point #3, if you know who you are, it gets easier.  

Speaking of which, I’ve got some shopping to do. 

My goal is deceptively simple… to buy a single share of every stock I own today. 

Starting with the big tech names that are hit hardest as I type. 

Doing so keeps my head in the game and my portfolio on track. 

Bottom Line 

People worry about everything that could go wrong especially on days like today. 

The world’s most successful investors, on the other hand, build their fortunes by focusing on everything that could go right.  

As always, let’s MAKE it a great day — you got this! 

Keith 😀