September 3, 2019. We were at a small gathering last week, and were asked about our ‘best’ advice in the financial markets. There are probably a dozen responses to this but the right ‘unexpected’ answer is one word. SAVING.
You can talk all day long about hot stocks or investment strategies, but if you don’t start saving when you are YOUNG, you will never have sufficient money for retirement. It is important when you get your first full time job, you need to save $10, $50, or even $100 every month: whatever you can afford. Preferably in a 401K plan with matching, if available. (Automatic deductions from the pay check is the only way to go.)
Of course there are exceptions: if you plan on a million dollar inheritance, or if you start your own business and plan on selling it for $10 Million, OR if you are a gifted stock trader, this rule does not apply. But most people are not in this position.
Compounding works wonders over the long term, and you will be amazed at how your portfolio grows in your later years, IF you start saving early.
We currently hold three Brookfield positions in the Core Portfolio. We have nice gains and it is NOT the time to buy. But if you got these when they were added, you are a happy camper. Here is a very positive SeekingAlpha.com article talking about Brookfield.