All good advice. It gets trickier though when the time horizon is limited, for example, I'm 65, and also access to the money may be needed at any time. I want to live off my invested funds while, at least, maintaining their purchasing power against inflation while I spend them down.
me too, I've settled on a mixed bond and index portfolio and a little bit of a ladder with the bonds. 1 years worth in cash 1 year in money market 2 years short term bonds the rest is split between bonds and index funds depending on how much time I have left on this earth, the older I get the more I move to bonds, As a rough guide take your age off 120 and whats left should be the amount of indexes leaving the rest in the bond totals. Spend the indexes when they are doing great and spend the bonds when stocks are down.
Hi Toby, what are your thoughts on HRMCs view on fractional shares? Will you be looking to sell your shares from investengine and move to a different platform? Can you do transfers to non fractional platforms?
DCA is the best strategy but I recently moved my workplace pension into a SIPP as a cash transfer…I now have to decide whether to jump straight back in the market or DCA back in over time. I’m thinking to invest say 10% per month for the next few months and keep 3 years living expenses as cash. Is that a good approach?
Great vid just one question....if you had the choice, would you put 20k into your ISA at the beginning of the financial year or would you dca the same amount over the course of the year ?
Toby is correct. This way of buying the total stock market is probably the safest way of investing and your be definitely less likely of losing money but to me it's the most boring way of choosing to invest. I'd say one of the slowest ways of obtaining wealth. Do you want to be safe? It's abit like coming out of school or uni and starting your first job and knowing for the next 40 years what you will be doing and what you will be earning. No risk just looking for the security. To become wealthy you need to be buying distributive stocks the teslas palantirs the nvidias and the cryptos of this world. I like buyng the dips the thrill of the peaks and troughs of the stock market Yes you may lose some along the way but I'd rather choose this route and take risks over certainty for sure.
Thanks Toby, just discovered your videos. i know you can't give out financial advice, but I'm ready to invest a 5 figure lump sum. Is it better to get that money in the market as soon as possible, or stay with DCA? Any insights appreciated :)
Learn how to read charts..technical analysis..you may not time it perfectly but it really does work..most of the time.. otherwise I agree, just DCA..it's the best method to build something that will hopefully compound over time.
Great channel mate. I've been watching your videos for around 3 or 4 months now. You explain things great and you give great insight, but keep it simple in the process. Happy investing 🙏🙌. Just noticed I wasn't subbed, but I am now. Some funny call of duty lines you came out with 😂 That tickled me.
Long term stock market returns have been around 9-10% over a century. Minus inflation and you get 6.5% returns as a long term average as inflation has ran about 2.5% overall.
Wow that part sbout dollar cost averaging was interesting. I knew it was a decent easy strategy but didnt know it would come close to someone accurately predicting the market
Hi Toby thanks for all the good advice, i`m a duo nationality Brit,Greek living in Greece the last thirty years . The Greek stock market has turned aggresivly bullish over the last four years due to it`s getting back it`s investment grade ,i think it`s a good idea to take a look . Keep up the great work.
Love the genuine information here. Just came across your channel and am stoked to see someone else not shilling BS and trying to mislead newer investors and traders. I'd love to connect sometime to explore making some content together! I'd be happy to shoot you an email if you're interested.
I have come to realize that no matter how much you earn without proper guidance and plan you wont be wealthy. In order to amass generational wealth you need to understand the secret of finance
i absolutely agree but sometimes its difficult for an average mom to understand these things i tried investing, it went down hill i lost a lot of money to the market.
sorry you had such experience the financial market can be crazy but with proper guidance and risk management one would still make profit off it. which is why i recommend a financial analyst for everyone who wants to invest in the market.
True I was able to recover my losses and gain massive profits when i started working with my financial advisor who helps me manage my risk and gives me entry and exit points which has grown my portfolio to over $400k USD Profits
Thanks Toby, it's always nice to hear I'm at least using the correct strategy, thanks to the information you and a few others on YT keep hammering in to us.
Two accumulating investment funds set up for family members with separate companies turned 2x £80k in 1997 to in one of the cases £108k in 2021 when it had to be cashed in.. How is that a good return on investment?? The market kept crashing in that time, and the funds just weren't recovering so all the gains vanished. Managed funds, primarily s and s but a proportion of bonds, property, commodities. The management fees were only a small percentage of the total amount. £80k in 1997 was worth £127k in 2021 using the BoE inflation calculator so it didn't even keep up with inflation. So fees, market crashes and tax owing must have strangled the funds. I'm trying a small lump sum in a global all cap fund in a ( tax free) isa in the hope my once burnt twice shy mindset can be proved wrong. Only 9 years to go til retirement though....
Great video, Toby! As well as my lump sum invested in the stock market, I've invested in a few fixed rate bonds due to my age. What I make from them will be added to the lump sum.
I like the strategy of owning the whole world but also have some extra pots to dabble in. Working me for so far and only 3 years in to investing. another 2 and will see how the land lies. Thanks for the updates Toby.
Hi, confusing beginner question, about ETF ACC vs DISTR, so from what i understand accumulation ETF they dont give shares while distribution they give dividends that you can reinvest, if that is correct then and you will have more share while Accumulation they suppose to reinvest the funds you already have but they dont give you extra shares ?
I'm gonna have to take a bit more out n start again. One of the reasons though is I'm starting an 8% interest account. Hard to turn that down. Other than that going forward dollar cost averaging ahead.
Great video, as usual. It's a shame for us Argentinians, that we are very restricted in our options and are forced to trade using extremely costly brokers who charge you more than 0,5% per operation.
In Slovakia, we have only one usable and not expensive broker. Others and banks are useless and expensive too. Can you use Interactive Brokers in Argentina?
@@spaceshipearth356 We have capital controls in place. If you want to use Interactive Brokers you have to do an expensive international transfer to the USA.
Excellent video, Toby. Those 3 nail it in terms of what 99% of investors should be doing. This video strongly chimes with Jeremy Siegel's book "Stocks for the long run" which you might enjoy. Great stuff.
I invest every month but I do try and time the low point each month just a game a play to stay active and keep an eye on things abit pointless just keeps me involved. 😅
Great video. To anyone who thinks this is “too good to be true”: I followed these principles for the past 15 years and I can testify that it works. You got to stay the course though, even at the depths of crashes like we’ve seen recently in March 2020. Once you embrace “evidence based investing” and are intellectually able to come up with a rules-based approach and you are mentally capable of sticking with it, come hell or high water, you’ll understand that “the problem of investing has been solved” and life becomes a whole lot easier 😂
I dont understand how is it possible that the dca strategy can outperformed the buy the dip guru. In any possible scenario, when the buy the dip guru actually buys, he always buys (with the same total money) in a better price than the average price of the dca so you are always worse with dca. You both have invested the same amount of money, but the dca average price is higher than the buy the dip price.The only thing I can think of is that the buy the dip guru misses all the dividents during that time (until it buys), but not sure if thats enough to make it underperform the dca strategy.
Edit: just realised that in a crazy rally of the market, the buy the dip guru will be forced to buy in a higher price than the dca strategy, because the market will never go back again which explains the results in the video.
Love the channel, have to apologise as not subbed (thought I was as have watched before). What we all really dream of is to have enough cash to lump sum invest during the dips *and* to be able to drip feed over time. 😎😎
Depends how old the person is now. If they are below 30 then yes, it is a bad idea. If they are 30+ then no, it is not a bad idea. I can't remember where I heard this phrase (might even have been this channel) but a finance youtuber said "I've never had anybody come up to me and tell me that they wish they'd waited longer before starting to invest". The only caveat I would add is to build up an emergency cash lump sum first. To cover unexpected costs or possible loss of income.
Investing at 30+ certainly isn't a bad thing, just how you invest should probably be different. I'm 39 and started about a year ago (so still have LOTS to learn), if I was younger I would personally be investing in mostly high growth stocks. I still have a portion of my portfolio dedicated to this but it's small as I feel at my age I don't want to risk so much of my wealth i've already obtained, whereas if I was say 22 i've still got many more earning years. I personally also have the time and interest to research individual companies, so while I hold two ETF's and they are some of my bigger holdings, I do feel I can take advantage of some of the larger dividends by investing in individual companies, but this is pure personal preference and I understand it's more risky. Ultimately it's a good thing but it's about having realistic expectations as well. Starting at 39 I'm not expecting or even wanting to retire at 50 and live off it, that won't happen. I'm just looking for a much more comfortable retirement and somewhat more financial freedom doing my own thing.
@@JunkUtopiaI think you have a good strategy. Just keep investing regularly into index funds. 39 is not too bad to start, and at least you have. I started when I was 30. If you start in your 20s and 30s, there's no point in trying to beat the market (you just run the risk of earning less than market and squandering the time advantage you had by starting early)
Some great tips to increases your chances of investing success. For me, the real money is made (or lost) by doing the opposite of this - trading stocks, going all-in on stocks with explosive growth potential. More risk more reward. Not for the faint hearted….
@@ChrisShawUK I haven’t followed the above method for long enough to answer your question properly. I have just sold most of my funds though, the next chapter for me will be interesting
@@rob_h_7 cool ... Enjoy your journey. Make sure you pick a benchmark to compare your returns against (FTSE 100 or whatever you feel). The only way to know if you're successful is if you exceed the benchmark.
We’ve just live through the Greatest American Bull run in history. It’s far more likely that new investors now will face stagnant growth. Apple is now worth $3 trillion. Where does it grow from here? 10 trillion. Point is Growth always tappers off. Take the FTSE which, even with Div reinvest, has still barely beaten Cash at 4%
Investing long term seems to be the most important thing to bear in mind. But what if a person is starting to invest when they’re around 50 years old, for example?
50 is still plenty young in my view. Same rules apply, need to think long term and also consider your own goals. For example, making sure you have plenty of cash for an emergency, avoid selling and continue to dollar cost average using low cost index funds
What if you don't have 30 years of investing ahead though what if you've only got 10 or 15? Couldn't you use the same method with blue chip companies like Google, Amazon, Apple? Over the long term haven't they outperformed the stock market? Great vid btw.
I think the same methods still apply to grow wealth it’s just less time means you have to consider what your own timescales are. More of a balance might be needed with cash, savings etc to pay for current living costs. There is no way of knowing if google Amazon and Amazon etc will outperform over the next 10 years. Doesn’t mean they aren’t great companies but the share price is not the company 👍
If you only have 10 to 15 years left and you don't have previous investing experience, it's tough to dive in at the deep end with stock picking. Most active investors lose money over the short term (primarily because they sell and exit the market when their portfolio falls)
Not as a long term investor. But for short term cash held as an emergency fund or for living expense then sure it’s not a bad time for gilts or money market funds
Works till it doesnt. Ive turned a lot of investments into nothing. A long list of pups gone bust. They compounded to nothing. Best with a tracker I think. I have about 4 companies that are down about 30 % bought just before covid. If they ever get back up , they are gone. As for tea bagging, l should have invested in Yorkshire tea. Cracking brew Grommet.
This is a good honest comment. Most active investors lose money, that's the reality. Luckily I realised in 1998 that I don't possess any information which will give me an edge over the market. So I have just accepted market return since then.
That’s right but if you invest all you have at the end of the month THAT is also a lump sum. In that paper which I have read multiple times it’s all about having a lump of cash now vs spreading it out 👍
Looking at the graph, from 1999 there's a drop. If someone invested a lump sum then, it would be only a loss during the next 20 years, right? Correct me if I'm wrong.
@@AndrzejC sorry I’ve no idea which stock market you are looking at. 1999-2007 was basically flat. That’s 8 years, but you are suggesting you invest at the top of the market and never invest again? That’s not what the video is about 😀
@3:44 the graph is showing a decline until 2020 (with some ups and downs). I don't see much gain in investing during that time even with DCA. And that's 20 years time.
Thanks Toby, no gossip, no speculation, no pessimistic news, just useful info 👍
💪
Hi Toby, the best advice I've got from youtube in years!. So clear and simple, wish they explained this to me at school. Keep up the content!
Thanks for the kind words 😀
All good advice. It gets trickier though when the time horizon is limited, for example, I'm 65, and also access to the money may be needed at any time. I want to live off my invested funds while, at least, maintaining their purchasing power against inflation while I spend them down.
Yes 100% that’s a more tricky one that gets more interesting and stuff I need to cover in other vids as there is so much to consider!
me too, I've settled on a mixed bond and index portfolio and a little bit of a ladder with the bonds.
1 years worth in cash
1 year in money market
2 years short term bonds
the rest is split between bonds and index funds depending on how much time I have left on this earth, the older I get the more I move to bonds,
As a rough guide take your age off 120 and whats left should be the amount of indexes leaving the rest in the bond totals.
Spend the indexes when they are doing great and spend the bonds when stocks are down.
Hi Toby, what are your thoughts on HRMCs view on fractional shares? Will you be looking to sell your shares from investengine and move to a different platform? Can you do transfers to non fractional platforms?
Where did you get the ticker clock thing on the wall?
Great video. A vídeo that should be shared widely with friends and family
Nice to see you're nearly at 65k
One step at a time buddy!
DCA is the best strategy but I recently moved my workplace pension into a SIPP as a cash transfer…I now have to decide whether to jump straight back in the market or DCA back in over time. I’m thinking to invest say 10% per month for the next few months and keep 3 years living expenses as cash. Is that a good approach?
Quite basic concepts, but it's always good to be reminded of them. Keep it up!
Investing doesn’t need to be complicated but it’s made hard by people who want to take lots of your money in fees! 😭
Great vid just one question....if you had the choice, would you put 20k into your ISA at the beginning of the financial year or would you dca the same amount over the course of the year ?
lump sum for me personally if I was a long term investor (stats say that 67% of the time this will win long term) - but its a personal decision
Toby is correct. This way of buying the total stock market is probably the safest way of investing and your be definitely less likely of losing money but to me it's the most boring way of choosing to invest. I'd say one of the slowest ways of obtaining wealth. Do you want to be safe? It's abit like coming out of school or uni and starting your first job and knowing for the next 40 years what you will be doing and what you will be earning. No risk just looking for the security. To become wealthy you need to be buying distributive stocks the teslas palantirs the nvidias and the cryptos of this world. I like buyng the dips the thrill of the peaks and troughs of the stock market Yes you may lose some along the way but I'd rather choose this route and take risks over certainty for sure.
Thanks for sharing 'the Holy Trinity' of investing!
Thanks Toby, just discovered your videos. i know you can't give out financial advice, but I'm ready to invest a 5 figure lump sum. Is it better to get that money in the market as soon as possible, or stay with DCA? Any insights appreciated :)
I was tea bagged by easijet and bitcoin
I was teabagged by Covid, Putin, inflation and interest rates. All things considered I’m very lucky only having been teabagged by them.
😂😂😂😂😂😂
😂😂😂
Are you using the sexual slang teabagging ? - if so very funny image 😀!
Hope you didn't sell your Bitcoin or you will be teabagged again 🤣
Excellent advice Toby, thanks for dimystifying this😊
No worries!
Learn how to read charts..technical analysis..you may not time it perfectly but it really does work..most of the time.. otherwise I agree, just DCA..it's the best method to build something that will hopefully compound over time.
Great channel mate. I've been watching your videos for around 3 or 4 months now. You explain things great and you give great insight, but keep it simple in the process. Happy investing 🙏🙌. Just noticed I wasn't subbed, but I am now. Some funny call of duty lines you came out with 😂 That tickled me.
Appreciate the video, another good one. Question, what is the influence of inflation on those return averages?
Long term stock market returns have been around 9-10% over a century. Minus inflation and you get 6.5% returns as a long term average as inflation has ran about 2.5% overall.
Wow that part sbout dollar cost averaging was interesting. I knew it was a decent easy strategy but didnt know it would come close to someone accurately predicting the market
Love these types of videos. So much useful information. Keep it going
Thanks, will do!
Hi Toby thanks for all the good advice, i`m a duo nationality Brit,Greek living in Greece the last thirty years .
The Greek stock market has turned aggresivly bullish over the last four years due to it`s getting back it`s investment grade ,i think it`s a good idea to take a look .
Keep up the great work.
Love the genuine information here. Just came across your channel and am stoked to see someone else not shilling BS and trying to mislead newer investors and traders. I'd love to connect sometime to explore making some content together! I'd be happy to shoot you an email if you're interested.
As always such a great video
Thanks again!
Awesome video Toby. Wish i could follow your advice. I do a mix of individual stocks and EFTs.
No risk no reward
I have come to realize that no matter how much you earn without proper guidance and plan you wont be wealthy. In order to amass generational wealth you need to understand the secret of finance
i absolutely agree but sometimes its difficult for an average mom to understand these things i tried investing, it went down hill i lost a lot of money to the market.
sorry you had such experience the financial market can be crazy but with proper guidance and risk management one would still make profit off it. which is why i recommend a financial analyst for everyone who wants to invest in the market.
True I was able to recover my losses and gain massive profits when i started working with my financial advisor who helps me manage my risk and gives me entry and exit points which has grown my portfolio to over $400k USD Profits
that's is very impressive, how can i get to reach your financial advisor?
BRADLEY RYAN MORRISON is the financial advisor i work with he provides me with entry and exit point which has kept me in profit i highly recommend him
Rolling 10, 20, and 30-year S&P returns was interesting to see. Do those charts depict a single lump sum investment? Dividends re-invested?
Thanks Toby, it's always nice to hear I'm at least using the correct strategy, thanks to the information you and a few others on YT keep hammering in to us.
Thanks Toby, great video.
Super useful video. Will be sharing with beginner investor friends 😊
you're welcome thank you for watching
Two accumulating investment funds set up for family members with separate companies turned 2x £80k in 1997 to in one of the cases £108k in 2021 when it had to be cashed in.. How is that a good return on investment?? The market kept crashing in that time, and the funds just weren't recovering so all the gains vanished. Managed funds, primarily s and s but a proportion of bonds, property, commodities. The management fees were only a small percentage of the total amount. £80k in 1997 was worth £127k in 2021 using the BoE inflation calculator so it didn't even keep up with inflation. So fees, market crashes and tax owing must have strangled the funds.
I'm trying a small lump sum in a global all cap fund in a ( tax free) isa in the hope my once burnt twice shy mindset can be proved wrong. Only 9 years to go til retirement though....
Great video, Toby!
As well as my lump sum invested in the stock market, I've invested in a few fixed rate bonds due to my age. What I make from them will be added to the lump sum.
I like the strategy of owning the whole world but also have some extra pots to dabble in. Working me for so far and only 3 years in to investing. another 2 and will see how the land lies. Thanks for the updates Toby.
Toby that is really great data - I’ve been a little fed up the
last few years but this shows the drip,feeding in to the market is well worth while
Hi, confusing beginner question, about ETF ACC vs DISTR, so from what i understand accumulation ETF they dont give shares while distribution they give dividends that you can reinvest, if that is correct then and you will have more share while Accumulation they suppose to reinvest the funds you already have but they dont give you extra shares ?
You're overthinking it, we're not talking rocket science
Great video as always, Toby. What a throwback with the MW2 clips and references.
Many hours at university were spent… 😂
Awesome content
@Tony Newbatt: Is that inflation adjusted?
love your videos!
Wow your investment strategy is like my wife’s shopping strategy. Just buy everything! 😜😀
Another great vid btw. Thanks
Thanks again!
I'm gonna have to take a bit more out n start again. One of the reasons though is I'm starting an 8% interest account. Hard to turn that down. Other than that going forward dollar cost averaging ahead.
I've been investing in index funds for 25 years this year. Not long until I bag my very own thirty year rolling return
@5.55 2a) Do a Reverse Cramer...
How about adjusting the results for inflation?
You can do that if you want it doesn’t change the principles 😀. Stocks have beaten inflation by more than 6% per year over almost 2 centuries 👍👍
Great video, as usual. It's a shame for us Argentinians, that we are very restricted in our options and are forced to trade using extremely costly brokers who charge you more than 0,5% per operation.
It's also bad here in Slovenia. Brokers and our country are too greedy.
In Slovakia, we have only one usable and not expensive broker. Others and banks are useless and expensive too. Can you use Interactive Brokers in Argentina?
@@spaceshipearth356 We have capital controls in place. If you want to use Interactive Brokers you have to do an expensive international transfer to the USA.
Never try timing the market. Unfortunately, timing is often everything. 😀
Excellent video, Toby. Those 3 nail it in terms of what 99% of investors should be doing. This video strongly chimes with Jeremy Siegel's book "Stocks for the long run" which you might enjoy. Great stuff.
Yes a classic book I’m aware of but not yet read! Need to get it
Another great video with excellent well explained content 👏 👍🏻
Glad you enjoyed it
I invest every month but I do try and time the low point each month just a game a play to stay active and keep an eye on things abit pointless just keeps me involved. 😅
Nice video 😊me just keep buying every day 🥳
I love the boring option :)
good vid Toby keep it up :)
Thanks! 😀
Thanks, as ever 😅
Great video. To anyone who thinks this is “too good to be true”: I followed these principles for the past 15 years and I can testify that it works. You got to stay the course though, even at the depths of crashes like we’ve seen recently in March 2020. Once you embrace “evidence based investing” and are intellectually able to come up with a rules-based approach and you are mentally capable of sticking with it, come hell or high water, you’ll understand that “the problem of investing has been solved” and life becomes a whole lot easier 😂
:)
I dont understand how is it possible that the dca strategy can outperformed the buy the dip guru. In any possible scenario, when the buy the dip guru actually buys, he always buys (with the same total money) in a better price than the average price of the dca so you are always worse with dca. You both have invested the same amount of money, but the dca average price is higher than the buy the dip price.The only thing I can think of is that the buy the dip guru misses all the dividents during that time (until it buys), but not sure if thats enough to make it underperform the dca strategy.
Edit: just realised that in a crazy rally of the market, the buy the dip guru will be forced to buy in a higher price than the dca strategy, because the market will never go back again which explains the results in the video.
Loved the gaming analogies 😂
Love the channel, have to apologise as not subbed (thought I was as have watched before).
What we all really dream of is to have enough cash to lump sum invest during the dips *and* to be able to drip feed over time. 😎😎
Now that’s a great strategy in the long run. As long as you don’t save the money for the dips though just having cash around randomly could be great!
Is starting at 30+ a bad idea? I feel like some people are really late.
Depends how old the person is now. If they are below 30 then yes, it is a bad idea.
If they are 30+ then no, it is not a bad idea.
I can't remember where I heard this phrase (might even have been this channel) but a finance youtuber said "I've never had anybody come up to me and tell me that they wish they'd waited longer before starting to invest".
The only caveat I would add is to build up an emergency cash lump sum first. To cover unexpected costs or possible loss of income.
@@paulduncan789 well said. Thanks.
Investing at 30+ certainly isn't a bad thing, just how you invest should probably be different. I'm 39 and started about a year ago (so still have LOTS to learn), if I was younger I would personally be investing in mostly high growth stocks. I still have a portion of my portfolio dedicated to this but it's small as I feel at my age I don't want to risk so much of my wealth i've already obtained, whereas if I was say 22 i've still got many more earning years. I personally also have the time and interest to research individual companies, so while I hold two ETF's and they are some of my bigger holdings, I do feel I can take advantage of some of the larger dividends by investing in individual companies, but this is pure personal preference and I understand it's more risky.
Ultimately it's a good thing but it's about having realistic expectations as well. Starting at 39 I'm not expecting or even wanting to retire at 50 and live off it, that won't happen. I'm just looking for a much more comfortable retirement and somewhat more financial freedom doing my own thing.
@@JunkUtopiaI think you have a good strategy. Just keep investing regularly into index funds.
39 is not too bad to start, and at least you have. I started when I was 30.
If you start in your 20s and 30s, there's no point in trying to beat the market (you just run the risk of earning less than market and squandering the time advantage you had by starting early)
Best time to start investing is 20 years ago the next best time to start is TODAY!!
Some great tips to increases your chances of investing success. For me, the real money is made (or lost) by doing the opposite of this - trading stocks, going all-in on stocks with explosive growth potential. More risk more reward. Not for the faint hearted….
How long have you been doing this and what's been your average annual return?
@@ChrisShawUK I haven’t followed the above method for long enough to answer your question properly. I have just sold most of my funds though, the next chapter for me will be interesting
@@rob_h_7 cool ... Enjoy your journey. Make sure you pick a benchmark to compare your returns against (FTSE 100 or whatever you feel). The only way to know if you're successful is if you exceed the benchmark.
We’ve just live through the Greatest American Bull run in history. It’s far more likely that new investors now will face stagnant growth.
Apple is now worth $3 trillion. Where does it grow from here? 10 trillion. Point is Growth always tappers off. Take the FTSE which, even with Div reinvest, has still barely beaten Cash at 4%
Investing long term seems to be the most important thing to bear in mind.
But what if a person is starting to invest when they’re around 50 years old, for example?
50 is still plenty young in my view. Same rules apply, need to think long term and also consider your own goals. For example, making sure you have plenty of cash for an emergency, avoid selling and continue to dollar cost average using low cost index funds
Great gaming anedotes
Timestamps please.
Loving the references 🤣
Waiting patiently for that thanos glove to make an appeareance :) Hppy new year hahaha
What if you don't have 30 years of investing ahead though what if you've only got 10 or 15? Couldn't you use the same method with blue chip companies like Google, Amazon, Apple? Over the long term haven't they outperformed the stock market? Great vid btw.
I think the same methods still apply to grow wealth it’s just less time means you have to consider what your own timescales are. More of a balance might be needed with cash, savings etc to pay for current living costs. There is no way of knowing if google Amazon and Amazon etc will outperform over the next 10 years. Doesn’t mean they aren’t great companies but the share price is not the company 👍
If you only have 10 to 15 years left and you don't have previous investing experience, it's tough to dive in at the deep end with stock picking.
Most active investors lose money over the short term (primarily because they sell and exit the market when their portfolio falls)
Also, all your cash in 1 fund...be prepared to stomach big drops,,,when it happens its freaky 😮
Aren't you tempted by gilts at the moment?
Not as a long term investor. But for short term cash held as an emergency fund or for living expense then sure it’s not a bad time for gilts or money market funds
Teabagged Toby? Are you trying to get x-rated with us mate?😂😂🤣 LOL. Great video as always.
😂😂😂
Love all of the cod references 😂
It’s my way of justifying all the time spent playing it that I can use it years later 😂
I think I’m the best cod player in this 64.6K community 😬 thanks for the vid
Bring back MW2
Simpler times
Works till it doesnt. Ive turned a lot of investments into nothing. A long list of pups gone bust. They compounded to nothing. Best with a tracker I think. I have about 4 companies that are down about 30 % bought just before covid. If they ever get back up , they are gone. As for tea bagging, l should have invested in Yorkshire tea. Cracking brew Grommet.
Can’t be a good old Yorkshire tea bagging in the morning. Cheers Dave 😁
This is a good honest comment. Most active investors lose money, that's the reality.
Luckily I realised in 1998 that I don't possess any information which will give me an edge over the market. So I have just accepted market return since then.
Vanguard wrote an article and determined lump sum is better than cost average
That’s right but if you invest all you have at the end of the month THAT is also a lump sum. In that paper which I have read multiple times it’s all about having a lump of cash now vs spreading it out 👍
@@TobyNewbatt fair enough, for me a lump sum is once a year. But I guess it could also mean at the end of the month, now I understand
3:12 😂
What if someone started investing in 1999? After 20 years it's still a loss 🤔
Huh? What stock market are you looking at from 1999 to 2019? The s&p 500 is up massively since then
Looking at the graph, from 1999 there's a drop. If someone invested a lump sum then, it would be only a loss during the next 20 years, right? Correct me if I'm wrong.
@@AndrzejC sorry I’ve no idea which stock market you are looking at. 1999-2007 was basically flat. That’s 8 years, but you are suggesting you invest at the top of the market and never invest again? That’s not what the video is about 😀
@3:44 the graph is showing a decline until 2020 (with some ups and downs). I don't see much gain in investing during that time even with DCA. And that's 20 years time.
@@AndrzejC sorry this is not the performance graph of the S&P 500 this is ROLLING RETURNS. Hopefully you can listen to the video again 👍👍
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Thanks Scott
Teabagged 😂😂😅 noice
"Never Lose Money Investing"! What an idiotic statement!
lol did you watch the video? This is investing not trading 😎
AC130 unlocked!