“Part 5 of an eight-part series on the lessons to learn from stock market history looks into why complex investment products should generally be avoided. Instead, investors should try to keep things simple, and the simplest way to invest in equities is via index funds.”
Part 5 Keep it Simple http://youtu.be/8WVVPgaclH8 Complicated products don’t work the way you think they’re going to work. Two points I’ll make about active management of funds – 1) none are consistently outperformers – especially where it is important – over the rest of YOUR life (the future); 2) NOBODY can identify them in advance (the lists are ALWAYS in hindsight)!
“Part 6 of an eight-part series on the lessons to learn from stock market history examines the importance of diversification – and particularly the need to balance riskier assets, such as equities, with less volatile ones, like bonds. Because shares and bonds have a negative correlation, having an element of both is advisable.”
Part 6 Diversify http://youtu.be/qL6BEUMKC50 Different parts of the world have different returns. AND – at different times.
I will post 4 segments with 2 of Sensible Investing’s parts each.