Abstract
As long as Martin was investing according to his banker’s recommendations he was not able to substantially grow his wealth. Bonds generated only low returns, and he still had to pay taxes on the returns. His stocks went up and down with the market without any reasonable logic. “I realized that with the conventional approach to investing in (quoted) stocks and bonds I would never be able to build real wealth,” he confided in our interview. Why then does the financial industry heavily promote investments in these asset classes?
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Notes
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© 2014 Cuno Puempin, Heinrich Liechtenstein, Fariba Hashemi and Brian Hashemi
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Puempin, C., Liechtenstein, H., Hashemi, F., Hashemi, B. (2014). Why Traditional Investment Models Don’t Work. In: The Empowered Investor. Palgrave Macmillan, London. https://doi.org/10.1057/9781137366870_2
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DOI: https://doi.org/10.1057/9781137366870_2
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