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  • FIRST POST
    • capital0ne
    • By capital0ne 14th Nov 17, 3:23 PM
    • 97Posts
    • 56Thanks
    capital0ne
    Why don't people invest?
    • #1
    • 14th Nov 17, 3:23 PM
    Why don't people invest? 14th Nov 17 at 3:23 PM
    I work with highly skilled and trained engineers, but none of them will consider investing in equities, either through shares, funds, ITs or ETFs and I often wonder why.

    They even talk of their ISAs but I know they mean cash ISAs and they think it's investing!

    They also don't even know you can earn £1k interest tax free!

    Some friends I know are sitting on a pile of money just left in their current account(s) losing 3% a year.

    I've tried to educate a few of them by letting them know how my portfolio is doing, and it's doing well, but I think they get a bit frightened by the 'noise' when I asy I'm down £10k this week or I'm up £12k the week before.
    To me it's no-brainer, it's so easy as well with the wealtho of info on-line, soy why is it people don't invest?
Page 4
    • elephantrosie
    • By elephantrosie 16th Nov 17, 10:46 PM
    • 372 Posts
    • 102 Thanks
    elephantrosie
    economics and finance should be taught in school, right from 5 year old.
    Another night of thankfulness.
    • bigadaj
    • By bigadaj 17th Nov 17, 10:15 AM
    • 10,696 Posts
    • 6,988 Thanks
    bigadaj
    economics and finance should be taught in school, right from 5 year old.
    Originally posted by elephantrosie


    Basic maths would be better at that age.


    I wouldn't want to depress them at that young an age either.
    • capital0ne
    • By capital0ne 17th Nov 17, 3:00 PM
    • 97 Posts
    • 56 Thanks
    capital0ne
    I think the simple answer is that the topic simply does not interest them.

    I'm an engineer and I work with a team of engineers. Some sail, some travel, some like cycling. I happen to have an interest in finance and investing so I have taken the time to learn.
    You could turn the question on its head and ask:
    "I work with highly skilled and trained financial advisers, but none of them will consider running their own home servers or writing home automation applications using embedded Arduino hardware and I often wonder why."
    Originally posted by vacheron
    Good example but as I'm an engineer I ca understand why you would be writing home automation applications, it's useful and fun.
    • TrustyOven
    • By TrustyOven 17th Nov 17, 3:24 PM
    • 670 Posts
    • 713 Thanks
    TrustyOven
    I think the simple answer is that the topic simply does not interest them.

    You could turn the question on its head and ask:

    "I work with highly skilled and trained financial advisers, but none of them will consider running their own home servers or writing home automation applications using embedded Arduino hardware and I often wonder why."

    Fundamentally, if you have no interest in something then it is very difficult to voluntarily dedicate precious free time towards that thing.
    Originally posted by vacheron
    I do agree.

    I look at/modify C++ code all day long, and the last thing I want to do when I get home is to look at setting up some servers or play with my Arduino Uno, no matter how interesting my ideas are for personal projects.

    It might be burnout. Wonder how many people, have burnout and therefore the last thing they want to do is look into the complexities (real or perceived) of investing.
    Last edited by TrustyOven; 17-11-2017 at 3:27 PM.
    Goals
    Save £12k in 2017 #016 (£4212.06 / £10k) (42.12%)
    Save £12k in 2016 #041 (£4558.28 / £6k) (75.97%)
    Save £12k in 2014 #192 (£4115.62 / £5k) (82.3%)
    • capital0ne
    • By capital0ne 17th Nov 17, 3:28 PM
    • 97 Posts
    • 56 Thanks
    capital0ne
    Can I ask when you first started investing and whether you've traded shares in more voltile times. As there's been a bull market for 9 years. Complancy being an investors worst enemy.
    Originally posted by Thrugelmir
    I started in 1980 - been through the ups and downs - just stay invested and don't trade needlessly
    • capital0ne
    • By capital0ne 17th Nov 17, 3:36 PM
    • 97 Posts
    • 56 Thanks
    capital0ne
    The memory of salesmen and worse posing as financial advisers is perhaps what frightens many off?
    They may be more regulated and professional now than they have ever been.
    But I doubt if they have restored widespread public trust yet?
    Originally posted by Glen Clark
    I think you've hit the nail on the head, financial advisors are just regarded as money grabbing parasites by the general public.
    • Eco Miser
    • By Eco Miser 17th Nov 17, 4:50 PM
    • 3,176 Posts
    • 2,941 Thanks
    Eco Miser
    economics and finance should be taught in school, right from 5 year old.
    Originally posted by elephantrosie
    Basic maths would be better at that age.
    Originally posted by bigadaj
    Yes, but counting could include counting money; multiplication and division introduce unit pricing; and when they get to percentages, the simple interest formula could be introduced, along with VAT and income tax; then when they get to powers, that's the time for compound interest.
    Eco Miser
    Saving money for well over half a century
    • Eco Miser
    • By Eco Miser 17th Nov 17, 4:54 PM
    • 3,176 Posts
    • 2,941 Thanks
    Eco Miser
    I think you've hit the nail on the head, financial advisors are just regarded as money grabbing parasites by the general public.
    Originally posted by capital0ne
    Only that part of the public who know what financial advisors are.

    Many people seem to think they are people like Martin, who will tell them which bank and credit card to use, but more personalised.
    Eco Miser
    Saving money for well over half a century
    • Thrugelmir
    • By Thrugelmir 17th Nov 17, 5:55 PM
    • 55,873 Posts
    • 49,244 Thanks
    Thrugelmir
    I started in 1980 - been through the ups and downs - just stay invested and don't trade needlessly
    Originally posted by capital0ne
    We can all thank ""Reaganomics" for the past 30 plus years.
    "Wide diversification is only required when investors do not understand what they are doing." - Warren Buffett
    • capital0ne
    • By capital0ne 17th Nov 17, 6:20 PM
    • 97 Posts
    • 56 Thanks
    capital0ne
    We can all thank ""Reaganomics" for the past 30 plus years.
    Originally posted by Thrugelmir
    Thanks Reagan
    • bigadaj
    • By bigadaj 17th Nov 17, 9:03 PM
    • 10,696 Posts
    • 6,988 Thanks
    bigadaj
    Yes, but counting could include counting money; multiplication and division introduce unit pricing; and when they get to percentages, the simple interest formula could be introduced, along with VAT and income tax; then when they get to powers, that's the time for compound interest.
    Originally posted by Eco Miser
    Yes, that's not going to lose five year olds, and put them off finance for life!
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