Kamal Lidder Explains the Dangerous Mistake Most New Investors Make

Kamal Lidder Explains the Dangerous Mistake Most New Investors Make

Are you just getting started with investing? Wealth advisor Kamal Lidder warns that one common mistake could cost new investors dearly. Understanding this risk can help you make smarter decisions and grow your wealth more safely.

In this blog, we’ll break down what that mistake is, why it happens, and what Kamal recommends to avoid it. Whether you’re investing in the stock market, real estate, or mutual funds, this advice applies to you.

The #1 Mistake New Investors Make, According to Kamal Lidder

Jumping in without a plan.

Kamal Lidder, a seasoned wealth advisor at Canaccord Genuity Wealth Management, says the biggest mistake new investors make is investing without a clear strategy. Many people get excited by headlines, trends, or “hot tips” from social media. They buy in based on emotion—without thinking through their goals, risk tolerance, or long-term plan.

Why It’s So Dangerous

Here’s why investing without a plan can backfire:

• Emotional Decisions: Fear and greed can take over, leading to buying high and selling low.

• Lack of Direction: Without a goal, it’s hard to know which investments are right for you.

• Risk Blindness: You might take on too much or too little risk without even realizing it.

• No Way to Measure Success: If you don’t know what you're aiming for, how will you know if you're on track?

Kamal’s Advice for Avoiding This Mistake

1. Start With a Financial Roadmap

Kamal advises all new investors to ask themselves these questions before making their first move:

• What am I investing for? (Retirement, buying a home, passive income?)

• How much risk can I handle emotionally and financially?

• When do I need to access this money?

  
  

  With answers to these questions, you can begin building a personal investment strategy.

2. Focus on Long-Term Goals, Not Quick Wins

“Trying to get rich quick is a fast way to go broke,” Kamal says.

Instead, he recommends focusing on consistent, long-term investing. This means:

• Investing regularly (monthly or quarterly)

• Choosing investments that match your risk profile

• Being patient and letting your money grow over time

3. Avoid Following the Crowd

Many new investors jump into trending stocks or crypto because of social media hype. Kamal Lidder cautions that just because something is popular doesn’t mean it’s smart.

Instead, do your research or work with a trusted financial advisor. Base your decisions on facts, not noise.

How to Build a Beginner-Friendly Investment Plan

Creating a simple strategy doesn’t need to be complicated. Here's a quick breakdown of what Kamal suggests:

• Set Clear Goals – Know why you’re investing.

• Diversify Your Portfolio – Don’t put all your money in one place.

• Understand the Basics – Learn about stocks, bonds, ETFs, and index funds.

• Stick to a Budget – Only invest what you can afford to lose.

• Track Your Progress – Review your investments at least once a year.

Final Thoughts from Kamal Lidder

Kamal Lidder believes that anyone can become a successful investor—if they start with the right mindset. By avoiding the mistake of jumping in without a plan, new investors can build confidence and create a path toward real financial freedom.

"Don’t let hype or fear control your investments. Let knowledge and goals guide you instead." – Kamal Lidder