Passive investing, usually entailing the purchase of low-cost index trackers and Exchange Traded Funds, has seen a massive boom in popularity since the financial crash. Numerous financial wizards, including Warren Buffet and John Bogle, have advocated for passive investing, arguing that it’s far more suitable for the majority of investors than active share trading. The […]
Small cap is a term used to identify company stocks with a relatively low market capitalisation, or the tradeable value of its outstanding shares. The definition of small cap varies among investors, but it is generally considered to be a company with a market capitalisation of less than $2 billion. To calculate a company’s market capitalisation, multiply its
When constructing your portfolio, it’s important to remain diversified, but how much attention are you paying to the detailed structure of your portfolio? The process of putting together a grouping of investments that make sense requires more than a little attention, but what should remain is a collection of assets that generate a healthy return
I’ve written before to advocate the acquisition of income-producing assets. With the collapse in interest rates around the world, yields have fallen, creating artificially inflated demand for dividend-paying stocks over bonds and cash savings. Investors have a range of passive income vehicles to choose from. This diversity can make choosing the right one a daunting
Why quality of income is as important as quantity Read More »
How much was your first passive income? I’m not talking about the first investment you made, but about the return it generated for you. How much was it? I was asked this question by a reader this week, and the answer is a simple one. £1.67 I was 18 years old, and had recently started
Reader Question: How much was your first passive income? Read More »
I received an email from a reader last week, asking about shares and the reader’s concerns about the growing risk of a share market collapse due to record high stock market valuations. This reader had primarily invested in dividend focussed funds and investment trusts, rather than individual shares, thinking that these provide sufficient diversification to
Reader Question: Are my dividends sufficiently diversified? Read More »
I see investing as a constant opportunity to learn and improve my financial understanding of the world. For the last few weeks, my friends have heard me talk about an investment I made which went south big-time a few weeks ago, losing 75% of it’s value almost overnight. The investment was in international facilities management
The ultra wealthy, known as Ultra High Net Worth Individuals (UHNWIs), are wealth holders with a personal net worth of at least one hundred million pounds. Their wealth consists of public and private company shares, real estate investments, and personal investments, such as fine art and jewelry, cars and designer clothing. These individuals understand the
Six mistakes that Ultra High Net Worth investors know not to make Read More »
Last week, I was speaking to a colleague about investing and why he’s not riding a Rolls-Royce when he spends so much time saving and investing. Once I’d stopped laughing at the idea of driving a Rolls (although I think they’re classy vehicles, I think they’re a horrendous misuse of capital!), I asked him what
Reader Question: What’s the secret to making ‘great’ investments? Read More »
Despite our lack of financial training and advice at school, the internet is awash with financial gurus teaching different systems and techniques for financial success. From paying off debt, to reducing spending, to investing like the next Warren Buffet, there is no shortage of useful, well-written articles available for an interested reader to dive into.
Income producing assets are a great addition to your portfolio. The only problem is that they’re often prohibitively expensive to acquire. I don’t know about you, but I certainly don’t have £500,000 lying around to acquire ownership rights over a successful business. But what if you didn’t need the money right now? What if you
Using Seller Financing to Acquire Income Producing Assets Read More »
Over the weekend, I was fortunate to be invited to Ascot to watch the races with my company. It was an absolutely fantastic experience – made all the sweeter for being the first time I’d been to the races and being able to take my partner Verity along with me. As my company sponsors the
Once we get past the age of about ten, most of us start to see the importance of knowledge. Without it, we don’t see risks, understand how to get what we want or really understand the world around us. Most people that describe themselves as businessmen follow the stock markets, monitor local real estate develops,
The importance of developing a range of knowledge Read More »
Earlier this month, Aaron Petrou was jailed was three years and eight months after admitting conspiracy to defraud through a two scams involving land banking and carbon credits. Using the false name of Giles Beaumont to sell Carbon Credits (under the guise of ‘Green Investments’), Petrou netted a £1.7m from almost 70 people. According to
Several years ago, I was approached with a ‘niche’ investment opportunity promising great returns. The sales pitch was assembled and presented well, but something didn’t sit right with me – I wasn’t sure how I’d be able to get my money back if I needed it. At the time, a friend of mine was examining
