When you "invest" in a bond, you're effectively becoming a lender. You part with a sum of money with the expectation that you'll get it back in the future, along with interest. When you lend to the government by buying bonds, you're essentially lending to an entity considered risk-free. A Bitcoin bond, where 80% goes
The recent drop in the official cash rate (OCR) by 0.25% has sparked a flurry of speculation about the future of the property market. Those hanging on for dear life are desperate for good news and recency bias is at work here - many believe lower interest rates signal a return to the boom times.
Why do some make it, and some don't? Successful people aren’t always the ‘smart ones’. They’re the people achieving great outcomes, often because their minds are in the right gear when the opportunity shows up. Success often comes about then, based on the way we think, talk, and make decisions. Recent conversations with clients has
Many believe central banks can destroy inflation by raising interest rates. Seems fair enough - after all, if you make something expensive to own, like an extra rental property, less people will buy them. However, this belief overlooks the complexity of competing economic forces like unemployment rates, growth in the economy, in government operations, demographics,
A prophet is seldom welcome in their hometown. Similarly, Kiwi's have to make it big, before they're acknowledged locally. When it comes to many types of investments, you spot a similar theme. It's not until you see things succeeding overseas, that Kiwi's sit up and take notice. Recently some research came up that showed NZ
Twice a year, we go away as a family – in the summer we'll head up north of Auckland and in the winter, we're often heading south to the bubbling mud and thermal wonderland that is Rotorua. With kids you’re sort of forced to align your holidays with school holidays – Holiday parks and hotels,
Investing on autopilot works because of the way our money works. The constant creation of new currency through the act of bank lending and government shell games, creates more money than 'stuff' there is to buy. Over time this cause the price of things we own, and the cost of things we need, to rise.
How to become wealthy? First, learn how to make money, then learn how to keep a lid on your expenses, and then invest the rest, the best you can. Can it really be this simple? Yes Spend less than you earn This principle, originating from the book "The Richest Man in Babylon," is the first
With the recent [first step] in an approval of the Ethereum Exchange Traded Fund (ETF), the crypto community is again abuzz with speculation (although it is rather subdued this time around). The big question on everyone's mind: will it be as successful as the Bitcoin ETF? Bitcoin, often seen as digital gold, is primarily meant
Warning: Most of this post contains an investment strategy with a high probability of failure. Considering the spectrum between 'safe' and 'volatile' in terms of expected outcomes, this one's off the charts. It's not investment advice, or even a good idea. Investments, whether in property, shares, or crypto, follow cycles, and occasionally, someone claims to
