There are strong arguments to suggest that the UK finance industry is structured to give you sub-optimal advice…
Perhaps the single fastest way to get yourself into a position where you have some cash to invest each month is to change your living arrangements.
More on property – how to really value it and why this is very important for you to succeed financially in the long run.
We have already looked at important ideas connected to working out the value of property, particularly rental yield and total return after accounting for inflation and capital growth. In this entry we will look at some other fundamental ways of looking at the value of property and some more general points.
The best way you can further your financial education is to read, read, read. I have spent many years reading every financial book going and I compiled the following list whist researching How to Own the World.
Most people do not have confidence in their ability to invest their own money. Be honest: Did you spend more time researching the purchase of your last car (or pizza delivery or pair of jeans for that matter) than you have ever spent learning the best way to look after your money?
“Those who understand compound interest are destined to collect it. Those who don’t are doomed to pay it…” – Tom and David Gardner, founders of top financial website The Motley Fool (www.fool.co.uk).
It is only in the relatively recent past that the financial services industry has developed to the point that people from any background can invest in almost any country or asset class (shares, bonds, commodities etc.) easily, quickly and cheaply.
Forget the “financial crisis” or the “recession”. The fact is that the world as a whole continues to grow. If you are invested in this fact you stand to benefit enormously. One fundamental truth about investment is that “there is always a bull market somewhere”.
Since the early 1970s, central banks (governments) all over the world have been “printing” money at a faster and faster rate. More accurately put, they have been “inventing” money rather than printing it. They don’t physically print much of it these days but simply add some zeroes to accounts in a central bank computer.