According to a study by Hearts and Wallets, there is a significant gap in trust between consumers and financial institutions. In fact, only 1 in 5 investors reported that they actually trust their financial advisor.
Given the extraordinary central bank involvement in financial markets in recent years, namely the grand financial experiment referred to as ‘quantitative easing’, investors increasingly are faced with the prospect of rising inflationary conditions. On balance, prices and interest rates have fallen for decades, and the vast majority of investors are not positioned for, or do not hold, investments which will resist or even benefit from a sustained rise in inflationary pressures again.
Investments that offer a “capital protection” sounds like a great way for you to protect your investments from tumbling investment markets during the global financial crisis.
Unless you have a time machine, no one can predict where the market is headed on a daily, monthly or yearly basis. Although there are active investment managers who can beat the market for a year or two, it’s nearly impossible to find evidence of any manager doing so on a consistent basis over the decades of time that most people invest.
Everyone wants to build their wealth and be financially stable to achieve success as well as peace of mind. However, wealth protection and growth requires a thorough financial plan.
Financial advisors today face a myriad of challenges in their daily practices. One of the biggest challenges that they face today is to plan for the future of the firm to ensure long-term success. Without proper planning, financial advisors can get stuck in the daily rut that makes it difficult to grow revenue and expand the business over time.
Regardless where you live, investment schemes that are blatantly fraudulent attract hundreds, even thousands of people all over the world every year.
When considering an investment, you have probably heard the expression “Don’t put all your eggs in one basket.” Yes, we’ve heard it over and over. If you want to make money and avoid big losses, you have to diversify. But what makes a diversified portfolio and what are the best ways to diversify your portfolio?
If we want to talk to someone about our finances and how best to manage our wealth or assets, some of us would go to a brokerage or a bank, while others might ask relatives or family members for advice. The choice of whom we talk to depends on our circumstances, the type of questions we want to ask, and the assets we want to discuss.
When it comes to investing, you probably have come across the terms, ‘retail investor‘ and ‘institutional investor‘. The differences between the two dictates not only the size of the trades they make, but also the types of companies and financial instruments in which they invest their monies. So let’s compare them both.