By Jason Fittler
In a recent survey completed by the Australian Stock Exchange, it was found that at present only 29% of investors get their advice from financial planners or stock brokers. While a whooping 48% of investors get their information from Magazines, Investment Newsletters, the Internet, Newspapers or Family and Friends.
Putting this in context around 50c in every dollar which is invested is done so without any professional advice. The All ordinaries is worth $1.1 Trillion, which means that $550 Billion is invested with no professional advice at all. And you wonder why there is a financial crises!
Would you self diagnose yourself if you were ill? Of course not, you go to a Doctor.
Why people risk their financial future to save a few dollars I will never know.
Of this 48%, 13% of investors rely on advice from family and friends. The positive is that this figure is dropping, but more investors are relying in the Internet 13%, Newspapers 15% and Magazines 4%.
What do these three medians have in common, they are designed to sell advertising space, not provide professional advice.
DIY has no place when it comes to something as important as your financial future. I will leave you with some advice which has served me well.
“If everyone agrees something is right, chances are it is not, the majority is generally wrong.”