There are two ways to learn investing: the hard way and the smart way. Most people start with the hard way – as I did.
When I decided to manage my own money, I started by following the financial media; I bought shares in a company and a tracker with a lot of confidence and then forgot them for three years. I also forgot this quote by Woody Allen:
“Confidence is what you have before you understand the problem.”
That was my first active experience in the financial market. I was lucky enough that my profits just about offset my losses – but I was aware that it was just luck. So I decided to follow the People Who Know. I tried half a dozen paid services. The result of my follow-the-gurus period was no better than when I started. ...