I’ve been doing some thinking over Xmas – always dangerous. Watching some of the other creators and thinking about what makes Meaningful Money what it is – presumably not just doggedly persistent and won’t-go-away, but offering something decent!

I think the key is in empowerment – giving people firstly the tools and the understanding, but then the self-belief that they can improve their financial situation. I reckon we’re good at putting things in a way that people get it, perhaps for the first time, and also encouraging people to take control.

The new season is really going in on the empowerment – it’s called YOU CAN, and we’ll be addressing the limiting beliefs and areas of personal finance that people really struggle with, starting with the biggie, the daddy of them all: YOU CAN be good with money.

Everything You Need To Know

• What is investing? Swapping your money for assets that grow in value, produce an income, or ideally both.
• Why do people think it’s hard?
  1. Perceived complexity – where to start?
  2. Think you need to be an expert or have an edge or a pin-stripe suit!
  3. Past losses/mistakes – don’t want to choose badly.
• What you really need to know? Asset classes that matter – equities, bonds and property. Volatility is the price of entry and you should make friends with it.

Everything You Need To Do

• Build a foundation first – clear debt, Emergency fund – 3-6 months basic expenses.
• Start with money you’re probably already investing – workplace pension. Look for the fund(s) you’re invested in – What’s inside?
• Open an ISA/LISA/Pension – Choose a platform – start with HL or AJ Bell – not the cheapest but very accessible websites. %-based charge will be low on small amounts.
• Choose a fund – You want a global multi-asset fund, Multi-asset – unless 100% Equities, temper the volatility with bonds.
• Watch and learn – Commit to doing NOTHING for at least a year.
• Don’t…
  • …switch funds for at least three years – you’re investing, not trading
  • …ever log into your account when you’re drunk/tired/upset/depressed/euphoric – any extreme emotion doesn’t mix well with investing
  • …believe you’re an expert if markets go up – they do that
  • …believe you’re a failure if markets go down – they do that
  • …stop investing and ‘wait until things improve’ – that’s timing the market
  • …preach to your friends about what you’re doing. Pride comes before a fall.
  • …skip building an emergency fund
  • …invest with one hand while paying high-interest debt with the other
  • …expect immediate results
  • …overcomplicate things
  • …invest money you’re going to need soon

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