How Boring Investments Can Build Real Wealth

Let’s dig a bit deeper into a personal finance topic today: investing.

I strongly believe in investing for wealth preservation, not wealth creation.

That is why the advice I give on investing is pretty “vanilla”.

Most of the wealthy people I have met during my career were boring people that owned portfolios of boring businesses and had portfolios of boring investments (shocking, I know).

Almost all of their wealth were created in business and preserved in the markets/real estate.

They just did the above for decades on repeat.

So this is slightly different than social media investing advice that you may see online re: alt coin trading, “buy this stock”, day trading, and penny stocks.

By the way, I’m not saying these people are wrong.

If you’ve read Psychology of Money by Morgan Housel before, he does a good job at explaining why people make the financial decisions that they do.

People make financial decisions based on their own knowledge, risk tolerance, and liquidity needs.

Likewise, indecision is also a decision.

If you subscribe to this philosophy of investing as a means for wealth preservation, here are some videos you may find helpful:

• Index fund vs Mutual Fund vs ETF

• Beginner’s Guide To Dividend Investing

• How much $ do you need to live off dividends

Hit the reply button and let me know what questions or thoughts you have about investing.

Alice