4 mins
July 11, 2022

Knowing vs. Doing

Knowing vs. Doing

Are you struggling to move from learner to investor? A few key mindset shifts can help you move forward.

There’s no getting around it; making your first investment can feel incredibly overwhelming. But if you never take the leap, you’ll never see any returns. 

While it is important to have a basic understanding of any investment before you put money into it, there’s also great value in learning as you go. 

The best investors are those who have figured out how to balance knowledge and action. In this blog, I’ll explain how I learned to overcome my fear and start investing, and I’ll share some practical mindset shifts that have helped me throughout my journey. 

From Theoretical Expert to Active Investor

It was 2008 when I first realized that investing could help me create the life I dreamed of. I read Rich Dad, Poor Dad by Robert Kiyosaki and was so inspired that I went on to read the entire Rich Dad advisor series, listened to every podcast, and watched as many videos as I could about investing and personal finance.

I was a theoretical mastermind. If you quizzed me on any investing topic I could probably give you an answer. 

But that knowledge wasn’t enough. Between 2008 and 2012, even as I was learning as much as I could, I made zero investments. 

When I missed my son’s third birthday for work in 2012, I realized something needed to change. That moment gave me the push I needed to stop limiting myself to just knowing and start doing, instead. 

I created a five-year plan for myself and wrote down a list of assets I wanted to acquire and revenue I wanted to earn. Within a few months, I had purchased my first property, and in just 18 months, I accomplished all of my five-year goals. 

You Learn More By Doing

None of this is to say that I instantly became the perfect investor. There are certainly things I would do differently today, and there were times when I lost money because I didn’t fully know what I was doing.

But the lessons I learned from those losses were things I couldn’t gain from a book or a podcast. Sometimes the only way to grow is to take a calculated risk and trust that even when you make mistakes, those missteps are still leading you closer to the real results you’re looking for. 

No investment is perfect, especially not your first investment. But even an imperfect investment will get you closer to your goals than you’d be if you never started at all. 

White and Orange Text on Blue Background: “What is an Accredited Investor? Find out if you qualify for these advantages! Read Now.

Choose the Vehicle that Fits Your Needs 

Here’s a secret that many advisors and experts won’t tell you: There’s no one “right” or “best” way to build wealth. The thing that seems to hold many of us back is this idea that if we just research hard enough, or talk to enough people, we’ll find the one, foolproof investment that can help us achieve all of our goals. This is simply not the case. 

After all, every investor is unique. There’s no one else in the world with your exact experience, financial situation, goals, and risk tolerance. And even in the places where you do overlap with others, there’s often more than one way to reach your target destination. 

Instead of trying to find the perfect investment, focus instead on figuring out exactly where you want to go, and then finding a vehicle that will help you get there in the way that makes the most sense for you right now. And don’t be afraid to change vehicles later on if you find that the one you first chose is no longer meeting your needs.  

Build a Network to Support You

There’s one other idea that most of us know in other areas of life, but somehow forget to apply to our investing strategy: You don’t have to do it alone. 

While it is important to have a baseline understanding of certain investment principles and asset types, becoming a true expert is a full-time job. And rather than spending your life learning as much as you can about investing, why not surround yourself with people who already know more than you and can help you get to where you want to go? 

When you prioritize finding experts you can trust, it frees you up to invest more confidently, without having to worry about every small detail. Plus, you’ll be able to learn as you go and soak up some of the knowledge that these advisors, accountants, and mentors have already gained through years of education and experience. 

Whether you feel ready or not, today is a great day to start moving forward with your investment journey. And if you’re an Accredited Investor who wants to start building your team and connecting with trusted partners, our team at First Generation Capital Partners would love to connect with you. Simply fill out this quick form today to get in touch! 

July 11, 2022
Billy Keels