Reinvestment

From my experience, investments are not something that pays off within a day or a week. This is mostly a long term story. For example, I invested in one project. Three years later he brought in his first income. Ten years later, this project fully recouped the investment and began to make a profit. I began to invest this profit in another project, perhaps with comparable payback periods.

So I reinvested in the first project after 30 years. So far this is too long a story, but long-term and with high reliability.

Obviously, as an investor, it is beneficial for me to expand the company’s policy towards maximum transparent and open activities and quarterly withdrawal of profits. Thanks to such approaches, it is very likely that I will be able to reduce the reinvestment process from 30 years to a reasonable time period of 5 years or the same 20 reporting quarters instead of 120.

Moreover, it is possible to reinforce success in the market only with the help of stock buybacks and splitting; in some cryptocurrencies this can be halving, burning, staking.

Nevertheless, total reinvestment carries with it the risks of a market bubble. The economy should consume, look for new ways of development, and investment amounts should not create a risk beyond expectations.

Photo: BIXEL