Why is it that everybody has an idea of how you should spend your money? If there is one thing that is always forthcoming from all quarters, it is financial advice. Most of this advice is detrimental and risky, if you slump it on your investment pan.
Turn on the TV and you will see how bad the situation has become. A bank wants you to invest in gold bars, a brokerage thinks you better try out bonds and another financial institution wants you to get a ‘free’ mortgage. A magazine has an amazing article on buying dream homes while an advisor wants you to consolidate debts. Your kids want you to buy a bigger car but your spouse thinks it is time for a holiday. It is simply mind boggling.
While it is prudent to seek for financial advice, it is hard to get objective and appropriate financial information. The best financial information must not be nailed with self-interest of the source. Once the financial information is motivated by other primary interests, like in all of the above examples, it becomes biased financial advice.
The best way to go about it is to solicit for all financial information available in the market, to critic it keenly and then find your own voice. After listening to tons of financial advice, you still remain your best source of financial prudence.
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