So, this is the final chapter in my latest series of articles. If you have read all of them then you are now well prepared to begin investing. As a result, you now know where to invest. How to invest. If you feel you need to refresh your memory then you can find a summary here. And to help you further I will soon be publishing a book that will explain everything in detail. I will announce it to those on my email list when it is available. If you want to make sure you hear about it then tell me a little about yourself first.
Why is knowing where to invest important?
In case this is the first article of mine you are reading then you may be wondering why knowing where to invest is important. Perhaps everything has been fine up until now. But will everything be fine in the future?
Three challenges
However, I find that people face three broad challenges when it comes to choosing the right investment for their situation:“
This is why you need to know where to invest.
Are you worried about losing money?
You see, if you’re like most people who worry about losing money in investments, taking that next step can be difficult.
You look at investments only to be put off by the small print which stipulates that investments can go up as well as down.
It makes potential gains seem not worth taking the risk.
Or maybe you still have the emotional scars of the global financial crisis.
Or worse, perhaps the stocks you buy go south just after you decide to buy them.
Trust me, I completely know what that feels like…
What about the kids?
Or perhaps your focus is investing for the kids.
If you’re like most people who desperately want to invest for their kids, it can be confusing to figure out how to invest, where to invest and who to trust.
You don’t want to take risks, not with something so important.
After all, you want your kids to finish their education debt free or maybe have something tangible, like a property.
Or maybe just feeling the peace of mind knowing that they are going to be OK, even if the worst happens and you weren’t there anymore.
Trust me, I completely understand.
Fed up with bank rates?
Or perhaps, you are just fed up with the poor rates you get at the banks.
You see, if you’re like most people who don’t know where to put their money, besides the banks, it can be so frustrating knowing that your savings are being eaten away by inflation.
You may be asking yourself:
“Where can I put my savings so that they grow faster than inflation?”
“Where can I put small sums of money frequently?”
“And not have my investment lose value should the market go down significantly?”
Your current situation
So, based on where you are right now:
- when it comes to avoiding losing money in investments;
- or, when it comes to securing your kids’ financial future;
- or, when it comes to improving on the rates from the bank,
what you want to do is find a solution that specifically addresses your unique situation…
Experience matters…
I have been working in investment for as long as I can remember. Earlier in the series I told you my story. I first became interested in investing when I was 16 years old. Later, I took various courses in banking, finance and economics. As a result, I became very book smart in investing. But this alone was not enough.
In short, it is the blend of experience and book smarts that made the difference for me. And in particular, earning the Chartered Financial Analyst® (CFA) credential was crucial. The CFA®designation is the highest distinction in the investment management profession. As far as experience is concerned, it is through my personal experience that I discovered how to invest.
…Time is your greatest asset
Subsequently, through personal experience, I made the mistakes that were necessary for me to completely understand where to invest. Certainly, my two biggest errors were not saving enough and selling my investments far too early. Time is your greatest asset. It is far more important than how much money you earn. Moreover, it is also more important than how much money you save.
You can learn from my mistakes
Sad to say, I squandered a lot of my time. But it wasn’t always my fault. For example, I was unfortunate to be laid off from my first two jobs! Two years in a row!
My first job was with PwC, the management consulting company. I was very excited about joining this company. It was my first experience of real estate investing. I learned a little bit here about how to invest. I was responsible for analyzing mortgage backed securities (MBS).
What is an MBS?
An MBS is a bond backed by a pool of mortgages. An investment bank will create an offshore company. After that, this new company buys maybe a $100 million of more of mortgages. It buys them from banks and local mortgage providers for instance. Subsequently, the new company finances its purchase by selling bonds.
These bonds are sold to institutional investors like pension funds. If you have a pension its possible that the pension fund owns some of these bonds. However, MBS bonds were at the center of the financial crisis of 2008. So, it is unlikely that pension funds hold a lot of them. The US Federal Reserve holds around $1 trillion MBS bonds. It bought them to bail-out many of the major banks during the crisis.
Cashing in investments
However, I was gone from PwC a long time before this happened. PwC was downsizing in the US at the end of the 90s. I was a victim of this downsizing. So I cashed in my paltry pension in order to pay my bills.
I relate this story because I know that life happens. Emergencies occur that cause you to dip into your savings. This is OK. What is important is that you make up for it later.
I made up for lost time
The good news is that I was able to make up for lost time. And you can too. But you need to know how.
Which is why I’m making my 20 years of investment experience available to you. “
How can I help?
Now it may be that you’ve learned a lot from my articles. But you need a little more help.
Ideally someone to take you by the hand and guide you through an approach that helps you avoid losing money in your investments…
How to invest in a way that protects your investment should the market go down significantly…
And how to avoid investment advisors whose interests are not aligned with yours…
And where to invest your money for the best return possible at a tolerable risk.
How to deal with some of the biggest challenges and trouble-spots when it comes to avoiding losses in your investments…
And how to be as certain as possible that you’ve made a good choice…
This is important no matter your goal. This will protect your future and your kids future.
What is your unique situation?
So, what is the next step after you’ve finished reading my series of articles? Obviously, it is to get out there and start investing! By now you should be well prepared. But suppose you are still uncertain. What then?
Then you can reach out to me. Tell me about yourself. We can get together and talk about your unique situation. Most importantly, I can tell you exactly how to apply what you have discovered in my articles. We can take as much time as you need. As a result, you will have complete confidence that you have made a good choice. You will know where to invest, how to invest.
$100 discount!
And if you make reference to this article then I will give you a $100 discount on your first coaching session or package of sessions.
On the other hand, perhaps you feel that you would prefer to keep following my articles. So, it is entirely up to you. I’ll be exploring specific investments (such as cryptocurrencies, real estate, etc.) in depth. I will also be publishing courses so that you can learn to do it yourself.
So, just keep checking back.
I’ll see you soon!
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