To make money generate more money, having the right investment philosophy is crucial.

A person's investment philosophy will determine his investment choices, so to make money generate more money, it is essential to establish the correct investment philosophy. Especially if one wants to make money grow over the long term, always remember that "wealth does not enter through the door of haste."

Why is that the case?

1. Earning money cannot be rushed; the more impatient you are, the less money you will earn.

Many new investors in the stock market are there to make quick money. Some try to profit from insider information, others painstakingly study techniques to follow the market makers, and some bet heavily on mergers and acquisitions. However, these investors are essentially speculating in stocks, not engaging in value investing. As a result, without exception, what they earn will eventually be returned.

Investors who rely on the opportunities of the times and the power of capital to make money have always been a minority. When they accidentally make a large sum of money, investors should be clear about what they depend on. Many investors' problems lie in their inability to endure loneliness. Long-term money generation depends not only on time but also on the stock of knowledge and wealth, requiring investors to have good methods, which all need to be accumulated over time.

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2. Do not waste time on small opportunities.

Following the "Pareto Principle," which states that 80% of the wealth accumulation comes from 20% of the significant opportunities, investors should focus on the big opportunities and never entertain the thought of "a small effort, not earning is a waste." Long-term value investing is about ignoring short-term price fluctuations.

Mature investors should learn to actively give up the occasional opportunities to make small profits. If one earns too many small opportunities, the investor's perspective will become narrow, preferring shortcuts and neglecting the real opportunities. Investors who want to earn all the small money will ultimately fail to earn what they should.

3. Focus on steady returns from long-term value growth.

Investors should concentrate on investments that offer stable returns from long-term value growth. This approach requires patience and a strategic mindset, understanding that significant wealth is built over time through consistent and thoughtful investment decisions.Many investors are always thinking about what they can do now to make more money, rather than considering what methods can bring long-term and stable earnings. To differentiate between big opportunities and small ones, consider this: opportunities that can bring long-term, sustained value growth and strong stability, even with a small profit margin, are big opportunities; those that only bring short-term wealth and have average stability, even with a high profit margin, are small opportunities.

IV. Maintaining a positive attitude towards making money is essential for continuous earnings.

In the journey of investment and financial management, the speed at which money generates more money is uneven. Some people become rich first and then poor, some start poor and become rich later, some experience a steady rise in assets, and others see their wealth fluctuate wildly like a roller coaster.

Success always has a method, but failure has its unique aspects: investors who become rich first and then poor have the wrong approach, relying on luck to make a big profit and then gradually losing it; those who start poor and become rich later endure long-term capital and knowledge accumulation, finally achieving a breakthrough at the right time; investors with steady growth break through wealth growth bottlenecks stage by stage through professional expertise and experience; investors who experience roller coaster-like wealth fluctuations chase short-term opportunities for big profits with a speculative mindset, leading to random and significant changes in wealth.

Investors in investment and financial management are often influenced by two psychological effects: one is the loss aversion effect, where the pain of losing 1 million is far greater than the joy of gaining 1 million; the second is the diminishing marginal utility effect, where the happiness value of gaining the first 1 million is the greatest, the second 1 million is less, and then it decreases, until eventually, no matter how much money is earned, there is no feeling.

From this, it can be seen that the most painful way to make money is to make a quick profit and then slowly lose it; the happiest way to make money is to earn a normal income and lose less when others are losing.

Investment and financial management are not only about increasing the number of wealth but also about having a sense of security and happiness. Never sacrifice happiness to simply pursue making more money.