|You might be able to improve your
plan. But only with more work. Your choice!
Congratulations on working your way through Simple
Investing! Now you might like to....
....do even better!
You will have learned a lot from this process.
You might now want to revisit some of the assumptions and simplifications
you needed to make to get to this point:
- Revisit the decisions on housing finance
that we forced you to make earlier. If you find you have a high
risk tolerance it is possible you would want to keep your mortgage
to invest more in high-risk, high-return shares.
- Revisit your forecast savings. Maybe you
want to cut your spending (or increase your family earnings) to
increase your savings to reduce worries about your future. Or
perhaps there are other spend/earn options you want to test, such
as saving much more when young and investing in high-risk, high-return
shares to try and kick yourself into a higher wealth bracket at
age 50. Or maybe you want to downsize or upsize your house. Or.....
We have taught you all we can about the How? But we have asked you
to take a lot on trust. You will be more confident if you can learn
something about the Why? You will also be able
to consider inserting another asset class. (You will then learn
how much more complicated the decision becomes with three classes
to chose from instead of two. Imagine if we'd allowed you to start
with all nine!).
To do this, you need to........