We all want to live a life that has a goal or a purpose. Right?
Every one of us would have different aspirations but none of us would want to have a meaningless life. Some might want to become a doctor or a teacher or a superstar or a known personality. Some would just want to be rich or some may just want to be happy in whatever way.
Overall, we all have some or the other goals to achieve in order to fulfill our purpose of life.
But do we really know how to achieve our goal? Think about it. Some of us might think that, “yes we know, and we have everything planned”. But now my question would be, do we really execute what we plan?
“A goal without a plan is just a wish”.
– Antoine de Saint-Exupery
“Science says, only 8% of the people are able to achieve their goals”, surprised to know this fact? When everyone is trying to achieve their goals, 92% of the people fail to achieve it. Keeping aside everything, being a trader and representing that community, as per facts, again only 7 to 8% traders can achieve their target levels over the long run. Here also our goal is to make returns and the majority of the traders fail to do that on a consistent level.
The answer to all this is realistic goal setting as well as having a proper plan to execute the same. I personally feel most of the people are not able to achieve their goals because of the unrealistic goal setting and due to which it becomes very difficult to execute it.
The best way to achieve your goals is:
Measurable Goals + Consistent actions = Successful Outcomes
The SMART way of Goal setting in the perspective of a Trader is explained as follows:
- Specific: A goal should always be very specific and not vague or open-ended. Why you want to achieve it and for whom, should be very clear in your mind. For instance, as a Trader, I want to have a portfolio of $50000 after 5 years from now, so that I can support my family with regular income post-retirement.
- Measurable: A goal should always be designed in such a way that, it is easier to measure small achievements towards the main goal and required changes, if needed, can be implemented. For instance, as a Trader, if I want to have a portfolio of $50000 after 5 years, then I need to start trading with $5000 and make 4% returns every month on a consistent level to achieve my goal after 5 years.
- Achievable: A goal should always be defined with such rules that it should be achievable within the specified time period as well as resources. For instance, as a trader, I want to have a $50000 account but instead of 5 years, I set a goal to have it in 6 months, then this goal looks very unachievable.
- Realistic: A goal should always be very realistic and relevant to your life purpose. Most of the people have very unrealistic goals and so they tend to fail. You should always have a goal, keeping your current situation and resources in mind. For instance, as a trader, I just want to make quick money and double up my portfolio every month. Along with that, though I have a shortage of funds, I want to trade with $10000, so that I have $20000 next month. This seems like a very unrealistic and greedy situation to me.
- Time-based: Whenever we set a goal, we should always Begin with the End in mind. This simply means that there should always be a specific target or timeline to achieve a goal. A goal without time-based can never be taken seriously or kept on priority. For instance, as a Trader, I want to have $50000, also I must achieve it in 5 years’ time. It can be achieved before 5 years, but it should not exceed the timeline. Exceeding the timeline frequently means disrespecting your goal.
Goal Setting is not only specific for traders, but it is also for everyone. As I said, we aspire to become something in life, and we tend to have goals for the same. So, if we set our goals right and have the passion to follow it, then I feel no one can stop us in achieving what we dream of.