 Good day, fellow investors. One of the biggest questions investors have is how to build a portfolio and they're wrapping their head around how much gold should I have, how much bonds, how much stocks, how much, I don't know, whatever. And I see a lot of people making huge mistakes when it comes to building a portfolio and there are three key mistakes that I want to point out in this video because I think it will really help a lot of people because it's simply a shift in perspective. The three mistakes are, first, a portfolio isn't built in a day or isn't built in a week or a month or even worse, within one hour coffee with your investment banker. That will be the most expensive coffee you will ever have in your life. So you don't build a portfolio in one minute, you build it over a decade. So that's first. Secondly, when you come to a portfolio, everybody thinks, okay, I need to have some gold, I need to have a bit diversified. No, you need to focus on what is your required rate of return. Okay, I want to invest and I'm happy with 5%. By the SAP 500, Hasta la vista, you will get 5% over the next 10, 20, 40 years. If I want 8%, you need to dig deeper. Okay, what are the investments that give me 8% if you want 10, 12% you need to dig even deeper, look at the risks, potential rewards. If you want 15% and higher, you need to really know what you're doing. So it's up to you to decide, okay, what's the input of knowledge time that I have and then decide, okay, what am I happy with from a business perspective, find businesses that offer that and then simply buy them. So think it from reverse engineer it, go from your required return, what do you want and then see what do you have to do to get there. And number three, crucial mistake that people don't think when building a portfolio is most people, if you're not retired, you are adding money to your investment, to your wealth building every month. Be it through an IRA, be it to investing in funds, being to have some money extra to investing in stocks, be it to reinvesting dividends, selling something that has appreciate reinvesting that money. So you're constantly adding you are a net buyer of stocks, which means that if you buy stock eight today and then it crashes next month, you have more money to add to buy more of that stock because now it's cheaper. So you can buy more of a good thing when it's cheaper. And this free key, let's say things are what people are missing. Let me explain this a little bit deeper. If we just look at the stock market, even the stock market is volatile over the very long term, but individual stocks are even more so. Apple and Facebook can easily fall 40, 50% in a given year. The question is again, if you invest in businesses, you buy those, when those hit your required return. And if you invest in stocks, then you are in trouble because nobody knows where will stock prices go. Now on a return, I recently did a video on Archer Daniel Midlands and over the last 10 years, they distributed 11 billion to shareholders, 5 billion in dividends, 6 billion in buybacks. And the market cap is 24 billion. So the dividend yield, they will grow, more food will be eaten on the world as there will be 9 billion people in the next years. So the distribution might grow. You might see 6% return from there, stock price might go up. So Archer Daniel offers a 10%, 9%, 10%, 8% to 10% return. And now if you're happy with an 8% return over the long term, buy ADM, buy 20 stocks like that and some will deliver 15, some will deliver 4, but over the long term, you will have a portfolio that will deliver 8%, 9%, 10% and will constantly grow. And when you find those stocks, you just buy them or you just wait for those to come to your threshold. If ADM goes from 45, 44 to 30, you shouldn't panic, you should be happy because they are paying a dividend, you reinvest that dividend or with the money that you're bringing into the portfolio, you buy more of that. And then your yield simply increases and increases and increases over time. And if you buy the cheap things, those things that are now offering a good yield like this at 8% or others at higher percentages, if you do a lot of research, then imagine what will your portfolio look like in 10 years. You buy food stocks now, you buy Brazilian stocks a year ago when those were very cheap, you buy commodity stocks two years ago when those were really cheap, et cetera, et cetera. And you buy Apple at the negative point of the iPhone cycle. And then think of it, okay, how would my portfolio, if I buy cheap things, if I buy more of the cheap things over a period of 10 years, how would my portfolio look like? It will be perfectly diversified with high yielding stocks, high dividends that you bought on the cheap, a lot of cash inflows every month to reinvest, redeploy, and then you have a portfolio like Buffett. Going now, I need to have bonds, I need to have stocks, I need to have gold, I need to have, I don't know, commodities, I need to have puts, protections, is a terrible way to build a portfolio. Give yourself time to build a portfolio. And just continuing on the adding, if you have a portfolio of 10,000 and you will be adding 10,000 each year, then you can manage risk with the additions. If stocks crash, you simply buy more with the added money. For example, as I said, ADM is a good buy at 44, you open a position, but after the next earnings, the stock falls down to 35 due to a low soy crashing margin or something like that. You buy more as you add money or you buy something else that has fallen. So if you start with 10,000, 1,000 investments per month over 10 years, your initial 10k are already at 130k that you invested. And if you get a return of 10% of your investments, which you could as you can buy on the cheap when others are selling. So be greedy when others are fearful, be fearful when others are greedy. You're already at 10%, you're already at 225k with a 10% yield. At 50%, your 113 invested becomes 300,000, etc., etc. So the message is simple. Give it time, buy cheap, buy value, buy what you are happy owning from the business return from the dividend yield, from the earnings, from the growth, from the potential, from the margin of safety. It might be even a building. Invest over time, buy when and what others are fearful owning and sell when others are greedy. Rebalance over time when something is overvalued and even 15% might be achievable. I hope I have given a better perspective on portfolio building. Just give it time. I invested in real estate in the Netherlands in 2014 because it was cheap. It was the best investment out there. 2009 hospitality, 2016 to 2018 commodities. I still am in commodities, food stocks, because those are cheap now. Two years from now, those might be expensive or not, but something else might be inexpensive. I might buy that. Brazil was cheap last summer. I invested in Brazil. So that's what I do and I'm trying to build portfolio over the next 10-20 years like Buffett did with his Berkshire. He built it over a very, very long time. So give yourself time. Thank you for watching. Looking forward to your comments and I'll see you in the next video.