10 Proven Strategies for Long-Term Wealth Building
Mobile: 10 Proven Strategies for Long-Term Wealth Building

Today, perhaps more than any time in history, American citizens are taking their financial futures into their own hands. With roughly 100 million brokerage accounts, holding over $20 trillion in assets, this is today’s American retail, self-directed investor. [1]

But, while the number of self-directed investors, and the value of assets held in brokerages has grown substantially over the past decade, the difficulty of amplifying long-term wealth has not changed. It hasn’t changed at all. In fact, it’s estimated that as much as 90% of retail investors end up on the losing side of a trade.

You see, while opening a brokerage account and funding it is easy, investing for profitable returns is not. However, there are at least ten proven strategies that can help retail investors beat the odds and grow their wealth over the long-term…

And one strategy that can help build wealth over the shorter term.

Now, before we show you these ten proven long-term strategies (and one short term strategy), it’s important to know why so many self-directed investors fail at growing wealth….

And the main reason for such failure?

Well, because of today’s “on demand” world, where social media has shortened our attention spans, too many retail investors (especially those who’ve recently opened trading accounts) are looking to hit it big, quickly.

As you know, this “get rich quick” mentality will only lead to failure.

Of course, perhaps because of this mentality, the internet is now flooded with fake investment gurus and scammers looking to take advantage. And take advantage of not only first time traders, but longer term investors as well.

If you pick any type of investment vehicle, short-term or long, and Google how to invest in it, chances are you can find fake gurus who are “experts” in that vehicle. But the likelihood they are actual experts is, well, practically nil.

As the late, great Charlie Munger once said of fake gurus, “If you take the modern world where people are trying to “teach” you how to come in and trade actively in stocks… well, I regard that as roughly equivalent to trying to induce a bunch of young people to start off on heroin.”

See, it’s the allure of getting rich quickly (and pervasiveness of fake gurus) that almost always ends up being a deadly habit, rather than a winning strategy. The investing public should treat these fake gurus for what they are, simple dopamine dealers.

So…

 What are the ten long-term strategies that can actually lead to wealth building?

  • Avoid get rich quick schemes… avoid fake gurus.
  • Start investing small and early.
  • Have a full understanding of your risk profile.
  • Avoid investing in a single sector or industry; diversify.
  • Never be emotional about your investments.
  • Put in the time, do the research, use reliable sources.
  • Always pay necessary taxes; and put money in vehicles that can alleviate them.
  • Consider investing a portion of your portfolio in index funds or ETFs.
  • Use the power of compounding by reinvesting dividends.
  • Balance your portfolio and allocate assets based on your investment horizon.

Yes, these are slow, boring ways to grow wealth. But they work. Take the S&P 500 for example. Had you invested $100k, ten years ago and reinvested the dividends, here’s what would have happened…[2]

Nominal Total Return:233.60%
Annualized: 12.80%
Investment grew To: $333,600.37

Clearly, those are wonderful returns… all without having to open a TikTok account to find a fake guru who’s only real expertise involves taking your money.

Now, is it possible to see returns like these in a shorter timeframe? Yes, it is indeed possible. However, you must avoid fake gurus, and like long-term investing, you need to put in the time, do the research and use reliable sources…

Reliable sources like SentimenTrader.

What is SentimenTrader? It’s Aether Holdings’ flagship asset, an independent investment research firm that blends qualitative insights from decades of market analysis with a quantitative approach enhanced by machine-driven technology solutions…

Offering both short-term and longer-term investment strategies. You see, SentimenTrader is no group of fly-by-night social media “influencers” …

It’s been offering professional-level insights, research and actionable investment information for 23 years and counting.

[1] State Of Retail Trading: The Evolving Retail Trading Landscape (forbes.com)

[2] S&P 500 Historical Return Calculator [With Dividends] – Of Dollars And Data