Each year I set aside some time to reflect on the lessons learned over the past 12 months. I find this exercise to be a prudent use of my time to reflect on missed opportunities, highlight successful practices, and strive to be a better overall investor. I also enjoy looking at past year's lessons in order to refresh my memory and prepare for a profitable outcome. You can view the 6 Lessons I Learned in 2013 here.

Below are some of the pearls of wisdom that come to mind when I analyze the market, economy, and investor psychology this year.

1.  Don't fight the trend

This is a carryover from last year and continues to be one of the biggest messages the market has sent us throughout the most recent bull market.  The trends in stocks, bonds, and commodities have been persistently stubborn despite calls for a reversal.

Logic doesn't always play a role in market dynamics – sometimes things can be disjointed and stay that way for a very long period of time. You can have a sound game plan laid out from A to Z why stocks should drop, commodities should rally, or bonds should tank. However, fighting the existing price momentum or staying on the sidelines in cash is the surest way to lose money and opportunity.

We don't always get what we want in the market, but we have to play the hand that we are dealt. With that in mind, keep an objective and balanced perspective that realizes the potential for riding the existing trends even higher. If you are worried about a correction, you can always implement a trailing stop loss or other risk management plan to limit your downside.

2.  Volatility is making a comeback

The late stages of 2014 have signaled that volatility is making a comeback. The 10% correction in the SPDR S&P 500 ETF (SPY) from high to low in October along with a subsequent recovery to new all-time highs is just one example. Volatility is also ramping up in the fixed-income markets via the iShares High Yield Corporate Bond Fund (HYG) as well.