RNZ Radio 12 May 2016
More on spreading your money around: How to diversify each type of asset; Chances of your account balance falling; Diversifying… around the world; …With mortgages; …Over time.
More on spreading your money around: How to diversify each type of asset; Chances of your account balance falling; Diversifying… around the world; …With mortgages; …Over time.
Two key points about investing: 1. What should you invest in? — How to work out the right assets for you; Taking the easy way out. 2. Why diversify — and how? — Lots of shares, bonds, properties; Spreading over different types of assets.
Different types of investments: The main ones — cash, bonds, property and shares; More about bonds; How to tell how risky a bond is; What about forestry, collectibles etc?; What is a managed fund?
The magic of regular saving — both in and out of KiwiSaver: How compounding works; And… you buy more when it’s cheaper; The big KiwiSaver bonus; Beware of KiwiSaver contributions holidays; Take part in KiwiSaver even if you’re heading overseas soon.
Q&As: Why daughter’s KiwiSaver account didn’t perform so well; Getting the most out of KiwiSaver for children; KiwiSaver tax credit in the year you turn 65; Another great quote on investing; Pros and cons of family life on a boat.
Why it’s not easy to get rich quick. How you might get rich quick without putting in heaps of time and taking high risk: Not via scams (discussed last year); The other ideas need luck; What would happen if someone found a low-risk easy way to get rich quick?; 3 ways you could try to get rich quick — 1. High-risk shares, 2. Start a new business, 3. Highly geared investments; What do they all involve?
Listeners’ questions on setting financial priorities: Quick summary of last week’s segment; Listener’s comment on repaying your mortgage; Listener questions on KiwiSaver; Listener questions on non-KiwiSaver funds.
Setting financial priorities — Best thing to do with excess cash: the rule about repaying debt versus investing; Applying this to: credit card and other high-interest debt, mortgages, student loans; Top priority for all: repay credit card debt. Next priorities: If you don’t own a home; If you have a home with a mortgage; If you have a mortgage-free home.
How overconfidence can make you poorer (and other psychological aspects of investing): Applies to shares, property, fixed interest etc; Which gender?; Overconfidence leads to — 1. Too little diversification, 2.Frequent trading; What to do instead; Many women have their own problem — too little risk; Other ways emotions affect investing.
Q&As: Trying to time markets is a fool’s game…; …And picking a few shares to invest in isn’t much better; Where to buy shares, and a better suggestion for teen; How come there are two monthly bills on one credit card bill?