Money is an interesting subject. Whether you like this
subject or you hate it, you will inevitably be affected by it. What makes the
subject of money interesting is the wide variety of views people have on it.
Many of these views are not just amusing but also outright silly.
Consider this view for instance: many people like to lock-in
their money or go for an auto-debit facility because they think they lack
discipline. Since you can’t access the money that has been locked in, you
become “disciplined.” Since money will be auto-debited from your bank account
periodically, you won’t be able to squander it.
The problem with the above-mentioned line of thinking is
that in both the cases, you compromise on an important element of the
investment process: control. In your urge to become disciplined, you actually
lose access to your own money or allow others to take money out of your bank
account. What sense does it make?
Investing is best done when you have control on the flows.
You decide when you should invest. You decide when you should sell your
investment. Of course, this requires a certain degree of sophistication, and
you must develop that as an investor. If you don’t, you only let others—investment
companies, the government, the bank, etc.—assume the control. They may
not have your best interest in mind.
There are absolutely no short cuts to the success in
investing. You must follow its principles to get successful. Being disciplined
is an important principle. But being disciplined about wrong things won’t do
you any good in the long term.
