I love the idea of a Loser’s Game and a Winner’s Game – a Loser’s Game is often decided by the mistakes each players make. In a Winner’s Game, which is often played at a much higher level, it is decided by the amazing plays made by each player. A Winner’s Game must be won whereas to win a Loser’s Game, you must avoid mistakes.
Investing is very much a Loser’s game – you don’t need ten-baggers, you just need to not lose your shirt on an IPO or hot stock tip!
Here are more mistakes to avoid:
20 IRA Mistakes to Avoid [Morningstar] – “Opening an IRA is a pretty straightforward matter: Pick a brokerage or mutual fund company, fill out some forms, and fund the account. Yet, there are plenty of places where investors can stub their toes in the process. They can make the wrong types of IRA contributions (Roth or traditional) or select suboptimal investments to put inside the tax-sheltered wrapper. And don’t forget about the tax code, which delineates the ins and outs of withdrawals, required minimum distributions, conversions, and rollovers. Rules as Byzantine as these provide investors with plenty of opportunities to make poor decisions that can end up costing them money.”