This is an early contender for the worst piece of financial advice of the year. My advice…..do exactly the opposite.
The financial press
Whether you decide to be a “passive” investor, and put all your money in index funds, or you choose to be an “active” investor, and trade the market, you should know where to get your information from.
Apart from reading company annual reports, and Australian Securities Exchange announcements, the financial press is a great way of getting on top of things.
As far as the mainstream media is concerned, the ABC (yes, I am biased) provides a great source of business news, as does Yahoo7 Finance. If you want to read press that’s written for market participants, I recommend reading articles from Bloomberg, CNBC and the Financial Times.
Getting yourself on a few “broker recommendations” email lists is also a great way to keep abreast of what’s going on.
More here – Yahoo Finance
If none of the previous ‘tips’ work for you then take up poker machines in a big way and start smoking to improve your health
So if this advice is rubbish- what isn’t?
I am looking at becoming a non passive investor for this time and this traditional advise would seem logical on the surface. Is what is wrong with it and why ?
Sallie
The answer can be found in this book – Where Are The Customers Yachts by Fred Schwed
If brokers and journalists knew what they were doing they wouldnt be brokers or journalists…..
At least they have pretty charts.
I love how the writer put quotation marks around broker recommendations.
The last sentence caps if off.