Tuesday, October 7, 2014

Cash Safety---Is It Just A Myth?

I'm not kidding. Think about it.

I don't invest in the stock market and keep what I make strictly in cash.

Yes, I have some money in GIC's which are the Canadian equivalent of Certificates of Deposit in the US. They are guaranteed by banks and the government, yet the interest rate is so low--in around 1 or 2 percent--and your money has almost gone into the negative realm.

Not good, is it?

For the most part though, keeping your money in cash is the smart move.

People seem to think still that putting their money into mutual funds and real estate are the smart moves. Not necessarily so either. Funds are not guaranteed, and as far as real estate goes, you better study your ass off and be involved with it daily. You can't be loosey-goosey and think you can just let it ride and get paid by your renters and make a killing!

Fuck no!

If, and I mean a strong if. If you do put money into funds and real estate you better be able to handle losses. What do I keep saying about putting your money into business?

Use money you can afford to lose.

Learn all you can and keep learning and make small mistakes at most with money you can afford to lose.

I work a regular job and I have a small cleaning business and an internet business.

I use money I can afford to lose.

And, keep the majority of your money in cash. If your banker says you should put your money to work in funds, you better think long and hard about it. And learn all you can about funds or what ever BS investment they want you to invest in.

Oh, by the way if anyone tells you they are guaranteeing you can make a certain interest rate in an investment and guarantee it in writing---run far away! I'd tell the Securities and Exchange Commission in the US, or the Ontario Securities Commission here in Canada.

It's most likely a scam, or a ponzi scheme. There is one that is most likely a scam here where I live.

So, be smart with your cash, please! 

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