Success in the market does not require any sort of faith. It only requires doing what has been done before for a long period of time.
The internet is full of countless investing gurus proselytizing their investment religion. Here are some recent examples:
Bitcoin Evangelists
Bitcoin may or may not be an asset class worth investing in, but it is not going to be the ultimate savoir of a debt-ridden global economy. To get through this period, it will require a lot more than a blockchain algorithm.
I’ve said this a thousand times—until Linda from your church choir practice can explain Bitcoin, it isn’t happening.
“Active Traders”
Let me be clear: there is no active trading method that will consistently beat the market. If there was, Leo would not need to be hustling on X.
Highly Leveraged Real Estate Investing
This not a comment on real estate in general, I have many clients who have built wealth using real estate. However, if your investment strategy requires a lot of debt, rethink what you’re doing.
So What Works?
Investing in a diversified portfolio of low-cost equity index funds for a long period of time.
You should be investing 10-15% (or more) of your income every month into an investment portfolio of equity holdings. Do this for your entire life, and you’re well on your way to building wealth.
Disclaimer: Of course, you can invest in businesses, real estate, and other ventures that may be excellent at building wealth. But we know for anyone investing regularly a healthy percentage of your income into the equities market works.
Live Last Week: Think Twice Before You Purchase That Annuity
Retirement annuities are a popular discussion online. Data shows people are asking questions like, what are annuities? What is the best annuity for retirement? How do annuities vs 401ks perform?
What needs to be asked, though, is whether annuities are even a good idea for your retirement plan. In last week’s live, I provide five reasons why I don’t usually recommend annuities in retirement plans for my clients.
Live, Friday, 10am EST: Why Taxes Will Go UP Before You Retire
There are several reasons to think taxes are likely to go up in the coming years. In this live we will talk about three reasons you should plan on taxes increasing before you retire.
Great read. The Bitcoin people drive me insane. Bitcoin is the hardest thing to use in reality and comes with high swap fees depending on what coin or exchange is used. It’s one reason I’m exiting it completely, never mind the number of regulations growing on it.
Glad you enjoyed!
Yes, the Bitcoin believers are very into their one asset class. I agree it is administratively a non-starter. Will be very interesting to see where it ends up in the coming decade. I do think crypto currency is a likely outcome, but it has to be in a technology form accessible to the masses.