Stop Watching Others
Keep your eyes on your own paper.
What This Means
One of the biggest mistakes investors make is comparing their portfolio to everyone else’s.
There’s always going to be someone who made money on a stock you didn’t own. There will always be a new investment everyone seems to be talking about. If you spend your time chasing those opportunities, you’ll constantly be changing direction instead of making progress.
The truth is, there are thousands of different investments. You are never going to own all of them, and that’s okay. Every investment decision is a tradeoff. You choose to own certain investments because they fit your strategy and avoid others because they don’t.
I see this all the time with business owners. It’s easy to compare yourself to another company that’s growing faster or someone who sold their business for a higher multiple. But success isn’t measured by someone else’s outcome. It’s measured by whether you’re making progress toward your own goals. Investing is no different.
The real measure of success isn’t whether you owned the best-performing investment this year. It’s whether your portfolio is helping you reach your own financial goals.
If you’re building wealth and making progress towards making work optional, don’t let someone else’s success distract you from your own.
Common Questions
Why is comparing my portfolio to others a mistake?
Because you don’t know the full story. You don’t know when they bought, how much risk they’re taking, or what losses they’ve experienced along the way.
Another thing to remember: people love talking about their winners far more than their losers. You’re usually only hearing the highlight reel—not the full picture.
Focus on your own progress, not someone else’s stories.
Why does it always seem like I’m missing out?
Because there is always something going up, and it’s impossible to own every investment. More importantly, you shouldn’t try to.
We also tend to become numb to our own investments after a while. Instead of appreciating the steady progress we’re making, we focus on the one stock, sector, or cryptocurrency that happened to surge.
The reality is, successful investing isn’t about owning every winner. It’s about consistently growing your wealth over time. If your portfolio is making progress toward your goals, don’t let someone else’s latest success make you lose sight of your own.
How do I know if I’m chasing performance or just trying to own a winner?
Ask yourself why you’re interested in the investment. Is it because it fits your long-term plan, or because it has gone up recently and everyone is talking about it? If it’s the second reason, take a step back before making a decision.
Remember This:
Run your own race.