If you have come here we have most likely talked about investing. You have some money but have not yet started investing. You have little knowledge of finance and do not want to have stress and worries about your finances. You want to have sufficient capital to live well when you retire. You know investing is the way to make that happen, but are hesitant to start. It is scary to put your money in things you do not fully understand, it feels better to have cash on the bank. You need a push in the right direction. I will give you that push and some ideas.
The purpose of this website is to provide you with al the necessary skills, knowledge and most importantly mindset to start investing. To be a good investor only a little knowledge of finance and economics is required. Just follow the website’s page structure in order to get all the information you need to invest.
Why do you need to invest?
Argument 1: the inflation argument
One: Fiat money (Currency such as EUR and USD) losing purchasing power due to inflation. Long story short, due to the printing of money of the central banks money loses it value. Each unit is worth less because more and more units are added. Over a lifetime money loses around all its purchasing power. This is 100% technically correct and I challenge you to confirm this yourself.
Realise this: everybody is invested. You are currently 100% invested in EUR, a guaranteed loss.
Argument 2: the compound interest argument
Two: Compound Interest. When you invest a beautiful thing happens: Over time, the profits from your investments are invested, so in turn generating more profit. This effect is called Compound Interest, and in the example below you can see that after investing with discipline and without interrupting the investments, around 75% of your wealth is generated by profit alone.
Use this calculator to see what the effect of investing will be for your situation: https://www.nerdwallet.com/calculator/compound-interest-calculator
Now that you know why to invest, you can develop your own investment philosophy