In this episode of the Financial Independence series, we explore the fundamentals of investing by understanding different asset classes. Your hose Emma dives into the concept of assets, both tangible and intangible, emphasising the importance of learning about investments. Listeners learn about investment asset classes and the two main ways to make money from investing in assets: capital growth and income.
The episode breaks down the five main investment asset classes: Cash, Bonds, Property, Shares/Equity/Stock, and Commodities. Each asset class is explained in terms of risk and return profile, with a focus on how investors can achieve a combination of income and growth. From the safety of cash deposits to the potential returns of investing in shares, listeners gain insights into building a diversified investment portfolio. Tune in to deepen your understanding of asset classes and begin your journey towards financial independence.
Highlights:
Understanding the concept of investment asset classes and their role in building wealth.
Exploring the two main ways to make money from investing: capital growth and income.
Learning about the five main investment asset classes: Cash, Bonds, Property, Shares/Equity/Stock, and Commodities.
Exploring the risk and return profile of each asset class and their potential impact on investment portfolios.
Gaining insights into the importance of diversification and indirect investment options.
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