Charles Payne is the host of Fox Business Network’s “Making Money With Charles Payne” and a frequent contributor to Fox News Channel. Payne began his career on Wall Street in 1985 as an analyst at EF Hutton. In 1991, he founded Wall Street Strategies, an independent market research firm. He continues to serve as the company’s Chief Executive Officer and Principal Analyst. Payne is also the author of the book “Be Smart, Act Fast, Get Rich”.
Recognized by GOBankingRates as one of Money’s most influential, he explains here why he thinks everyone can and should invest and what investors should focus on in 2022.
What most people don’t know about investing that you wish they knew?
That it’s for them, that it’s not beyond their reach. It can be daunting, but it’s no excuse to turn down a chance to change your life and change the course of future generations.
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What should everyone do to build their wealth, no matter how much money they currently have?
First, reduce your expenses and save money. People love to complain and want to keep up with the Joneses. I went 10 years without a credit card. To this day, I rarely use a credit card – I only have a mortgage because I was making more money in the bull market – and when I do, I pay them off 100% at the end of the month. The other thing is to commit to learning – read, study and read some more, then dive in.
What should investors focus on in 2022 to get the most out of their money?
2022 has been the year of hard lessons. These years are inevitable because the markets are the mirror of society and emotions, which also experience ups and downs. The nice thing is that up periods are significantly longer and more lucrative than down periods. This is a year to refocus on balance, security and patience.
What investments should they avoid?
I don’t like to tell anyone to avoid anything except unrealistic expectations. You need to mitigate risk with balance, but not be so balanced that it defeats the purpose of increasing wealth. Avoid panic. Avoid “taking a shot” by buying a single stock and nothing else until it works. Avoid sulking – take a loss and walk away.
It has to be a lifelong endeavor, and it helps to be optimistic, willing to make and accept mistakes, and always remain a student (experts are always burned by their pride at some point).
Jaime Catmull contributed reporting for this article.
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