He needs to calm down, think more and take fewer risks.
So you've let your husband invest your savings, but found his promised winners just never appear? Sounds like it's time you made money by helping out with the share-picking.
Girls will be girls
Sad to say for us chaps, but women are simply better investors than men. You see, according to Warren Buffet Invests Like A Girl, the new book from The Motley Fool, female investors tend to:
1. Trade less than men;
2. Exhibit less overconfidence;
3. Shun risk;
4. Be less optimistic and more realistic;
5. Spend more time researching investments;
6. Be more immune to peer pressure, and;
7. Learn from their mistakes.
The book claims your husband's duff trades are due to his hormones and how they affect his investing temperament. Apparently his testosterone levels are likely to be more than five times as high as yours, which in short can make him far too strong-headed, energetic and emotional when dealing with volatile financial markets. But then you probably knew that already.
Investing with a feminine touch
Of course your husband won't admit to any of this hormone stuff -- and no doubt he'll still keep the password to his broker account a secret -- but a feminine touch could easily calm him down and help him out.
Just mention these seven investing tips when you next discuss your finances:
1. Take the long view and be patient;
2. Think about and learn more about investing in general;
3. Consider the downside potential;
4. Remain level-headed during market highs and lows;
5. Read annual reports instead of listening to hot tips down the pub or golf club;
6. Be willing to go against the crowd, and;
7. Refine his investing strategy over time.
Sounds a bit boring, but often boring is generally the way to success in the stock market.
You could always persuade your husband about the merits of any big-name shares you're familiar with. Stable large-caps such as Next (LSE: NXT) and Unilever (LSE: ULVR), for example, might not get your man's pulse racing, but over time are more likely to provide better returns than his impulsive punts on dodgy penny stocks.
Encouraging a thoughtful, buy-and-hold approach should stop him from always investing your money in the wrong stocks at the wrong time. And like any dutiful husband ... he'll undoubtedly take full credit for the improved performance!
> Want to find out more about 'Warren Buffett Invests Like A Girl'. Get the first chapter for free.
