Photo credit: www.cnbc.com
Savannah James, the spouse of NBA superstar LeBron James, is making her mark as an entrepreneur. She has joined forces with her close friend April McDaniels to co-host the “Everybody’s Crazy” podcast and co-founded Let It Break, a personal development initiative designed specifically for women.
Like many individuals, even celebrities encounter financial missteps that they later wish to amend. Savannah James expressed that she too has faced this challenge.
In a recent interview with CNBC Make It, she revealed that her most significant financial blunder was “investing in something without having real knowledge about any of it, and basically losing out on that capital.” She noted that the investment was substantial enough to cause ongoing stress, admitting that discussing it elicits discomfort.
Experts Warn Against Impulsive Investment Decisions
A major factor behind poor investments is often the absence of thorough research, according to a 2023 client survey by Charles Schwab.
To mitigate impulsive investment choices, financial experts emphasize the importance of conducting research and establishing a clear plan before committing funds. Mark Riepe, head of the Schwab Center for Financial Research, suggested in his conversation with CNBC Make It that investors should expose themselves to differing opinions, particularly when they are evaluating their investment strategies.
He advised investors to consider alternative perspectives, urging them to read analyst reports or opinions that may challenge their views. “Doing extensive research can empower you to make informed decisions, especially during periods of market downturn,” Riepe explained.
Moreover, Riepe highlighted the value of articulating an investment thesis, which includes detailing the rationale behind an investment and acknowledging potential risks. This framework may help investors navigate the accompanying volatility and remain composed as investments fluctuate in value.
Interested in exploring additional income opportunities beyond your primary job? Check out CNBC’s online course How to Earn Passive Income Online for insights into popular passive income avenues, actionable starting points, and inspiring case studies.
Additionally, consider signing up for CNBC Make It’s newsletter to receive practical advice for achieving success in your career, managing finances, and improving overall quality of life.
Source
www.cnbc.com