I make additional contributions above those required to the retirement scheme in Australia similar to 401k. Obviously, this is because the compounded savings in tax are large.
I have share trading accounts for savings I intend to use before retirement. One is for US shares the other for Australian shares.
The main use of this money would be to buy a house (in australia), if and when this ever makes any sense based on NPV calculations. I independently value any investment I make to the best of my ability.
I do not buy and sell assets frequently as I believe the market is probably very efficient on a short term basis (I know I don't know how to beat it). I tend to focus on longer timescale macro trends which I spend an enormous amount of time thinking about (for enjoyment, regardless of investment purpose). I would like to think (at least some) markets are not efficient on longer timescales (but short compared to my lifespan). I do not know if this is true, but I believe it probably is. This timescale is at least 5 years.
I rarely buy individual stocks, but there are some exceptions such as BHP as a proxy for commodities. I tend to buy targeted aggregate securities (ETFs are great) to get exposure to the trends I'm interested in. The less fees the better, so index tracking funds are preferred. I don't trust a random "expert" to be able to beat the market above fees. I know enough people in finance to know the way you get places is ability wear a suit nicely and talk confident (i.e. sell), independent of actual ability.
I rarely make large trades. If I'm moving from one asset (or cash) into another, I'll do so using a number of trades over a number of months.
I'm always diversified on a global basis. I always have some exposure to assets in the currency where my future expenses are likely to be incurred, even when I have a negative outlook on that currency (as is the case currently).
I have share trading accounts for savings I intend to use before retirement. One is for US shares the other for Australian shares.
The main use of this money would be to buy a house (in australia), if and when this ever makes any sense based on NPV calculations. I independently value any investment I make to the best of my ability.
I do not buy and sell assets frequently as I believe the market is probably very efficient on a short term basis (I know I don't know how to beat it). I tend to focus on longer timescale macro trends which I spend an enormous amount of time thinking about (for enjoyment, regardless of investment purpose). I would like to think (at least some) markets are not efficient on longer timescales (but short compared to my lifespan). I do not know if this is true, but I believe it probably is. This timescale is at least 5 years.
I rarely buy individual stocks, but there are some exceptions such as BHP as a proxy for commodities. I tend to buy targeted aggregate securities (ETFs are great) to get exposure to the trends I'm interested in. The less fees the better, so index tracking funds are preferred. I don't trust a random "expert" to be able to beat the market above fees. I know enough people in finance to know the way you get places is ability wear a suit nicely and talk confident (i.e. sell), independent of actual ability.
I rarely make large trades. If I'm moving from one asset (or cash) into another, I'll do so using a number of trades over a number of months.
I'm always diversified on a global basis. I always have some exposure to assets in the currency where my future expenses are likely to be incurred, even when I have a negative outlook on that currency (as is the case currently).