Choosing Your Investments:

When you are choosing to invest, for the purpose of wealth creation or preservation you first need a good strategy. This strategy should include clear objectives on what you are trying to achieve, an understanding of your living expenses, your debt position and your surplus cash flow. You should also consider your liquidity requirements, potential Centrelink and taxation issues, and your desired time frames.

Ultimately you will have to make decisions about investment options that support your strategy. In choosing suitable investments the following quotes, statements, and messages are well worth keeping in mind.

“It is far better to buy a wonderful company at a fair price than a fair company at a wonderful price”

“Be FEARFUL when others are GREEDY and GREEDY when others are FEARFUL”

“Price is what you pay, value is what you get”

“Successful investing is about managing risk not avoiding it”

“In investments, turnaround situations rarely deliver superior returns and they are best avoided. When a company gets into difficulty typically two things happen, either the situation facing the company deteriorates further or it takes longer than expected for the turnaround to be executed. Time is the enemy in these situations – you will get little reward for being eventually correct.”

“Those who do not remember the past are condemned to repeat it.”

“Compound Interest is the greatest mathematical discovery of all time”

At Plus 1 we are available at any time to discuss issues of this nature with due regard to your investments or financial planning generally.