“Now published as a column on Toyo Keizai ONLINE” Once losses can be acknowledged, profits begin to rise

Good morning, this is Matsushita.

Every Saturday, the column is about Matsushita Makoto's Investment Exploration

Update date.

Today's theme is,

"When you are able to admit losses, profits start to rise."

I have invested for a long time myself,

and I have conveyed investing to many investors, and what I think is,

being unable to make a profit in investing is

inevitable at a certain level.

To put it a little extremely,

if 75% of the market is losing,

then if you invest normally, you will be losing.

To make a profit in investing,

you must become part of the not-normal 25%.

That does not require mastering complex investment theories or

acquiring special techniques, but

you need to have this mindset, this emotion.

That is today's column theme.

And this theme is

probably a theme I want to convey to investors for the rest of my life.

If you understand this,

that investor will be able to happily make profits

in the future.

Please read it.

【Column】 Makoto Matsushita's Investment Exploration

Episode 185: "When you can admit losses, profits begin to rise"

In investing, every single trade results in a clear profit or loss.

Investors feel relieved when they profit, and discouraged when they incur losses.

Sometimes, losses even lead to self-loathing or self-denial.

Because the outcome of investing is determined by an uncertain future,

it is impossible to make a profit on every trade.

In other words, as long as an investor continues trading, there is a destined pattern

to incur losses along the way. As written above,

when investors incur losses, if they simultaneously harbor self-loathing or

self-denial, investing becomes inevitably painful.

Because as long as you continue investing, the self-loathing and self-denial will persist.

There is no need to fixate excessively on the outcomes of each individual trade.

Investing is an activity that, after a certain period and a certain number of trades,

increases capital, and the result of each trade is merely

one element among countless factors.

So you too do not need to harbor self-loathing or

self-denial for each loss. People are not strong enough to live

forever in self-loathing and self-denial.

Until you realize that, you cannot continue investing.

Do not let a single loss occupy your heart too much.

Aim to acquire investing where capital increases after a certain period and a certain number of trades.

At that time, if you can admit your losses, your mood will ease and profits will begin to rise.