Hi All! I am George Pierce, this post is about MONEY! Although I am far from an expert regarding money matters, the content of this post is based on what the 'experts' are saying. There are two paths when it comes to investing. The first is the path that I chose and the one that I recommend, which is to outsource. The second is to handle your investments yourself, a choice that I believe that many of us try. Although the second path may seem appealing, it is a mistake.
My story:
My first "Palm Beach" office was a single room (but it meant a Palm Beach address). The rented office space was in a 'commodites' firm, the rest of the offices, the rest of the building was "commodities" research and investing. Over time, I got to know and to make friends with many of the GENIUSES employed by the commodities firm. Here is little of what I learned.
Most investments such as commodities and the stock market are based on 'supply and demand'. If there is more demand than supply, it is probably a good inestment. Too bad it is not that simple.
There are over a dozen additional factors that need to be considered. These include interest rates, the economy, public opinion, money supply, trends, employment rates, unemployment rates, the 5 rule, and timing. What I discovered is that these GENIUSES had devised ways to track these factors with precision, which made prediction easier and more reliable. In other words, many of the commodities brokers lived and breathed charts and stats and tracking and details, which was not and is still not my cup of tea. In addition, I am serious about the 'genius' part, and genius is not a talent that I possess.
Since I was able to get an inside look at investing, I discovered that 'financial expertise' was real, and an important ingredient, therefore, I recommend finding financial experts that you are happy with and then taking advantage of their expertise.
The following is from Cohen and Steers, a part of my portfolio with Fidelity Investments. I joined Fidelity over 40 years ago, they are my favorite.
For more info from Cohen and Steers: https://www.cohenandsteers.com/insights/insights-3-reasons-to-own-real-assets-vo11is5/
Past performance is never a guarantee of future performance. That being said, the above graph is worthy of our attention.
Commodities: As mentioned, supply and demand is a factor and shortages have helped commodites
Resource Equities: You will find that resource equities have a history of not only protection against inflation, but also increasing purchasing power during inflationary periods.
Infrastructure: Infrastructure investors provide the capital needed to repair, rebuild, and build new infrastructure.
Real Estate: Real Estate values seem to be always trending upward.
Real Assets Blend: Real Assets historically have out performed inflation.
Where to begin?
Getting started can be daunting, even overwhelming, No matter, the key is to take your first step and get started.
Newbie Tips:
Risk/ Reward: Every investment has risk, cash is the safest but also you lowest-returning option. The investments that are typically the riskiest, typically yield the potential for the highest returns.
Begin Here: Most experts recommend that index funds or exchange-traded funds (ETFs) are often your best path when you are a newer investor.
The stock market has consistently delivered higher returns than bonds over long periods, but the stock market has a greater short-term risk, along with wider price swings.
Investment experts recommend diversification, which is spreading your money across different types of investments.
My Two Cents:
1. Renewable Energy. The 'trend' is to lower CO2 emissions, it should be a long term trend, so investments in that area should do well.
2. 401K. Investing in a 401K lowers your taxable income by the amount you invest. For example: You make $50K and invest 6% ($3,000), your taxable income is reduced by $3K. If your tax bracket is 25%, your taxes will be reduced by $750, so it is like a 25% or $750 immediate ROI.
Make money, manage your money, and take care of your health.
Thank you for reading.
Much success,
George Pierce
For help with making money online with zero investment, visit my YT training channel.
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