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The Intelligent Investor (June 2023)

The Great Distraction

There are a few ways in which investors distract themselves from their long-term plans. The most common way is to fall prey to the cycles of fear we all fall into when a major world crisis or market downturn arrives.

Three Killer Traits for Financial Success

The financial and investing journey is similar to competitive sports. One aspect in which they differ is that when it comes to investing, thinking is often more important than doing.

The Stock Markets

(Updated 31 May)

The key benchmark you should care about is achieving all of your financial and life goals and not running out of money.

The Unimportant Numbers:
1 Month

Monthly figures are a distraction from your long-term goals, we’ll help you avoid the noise.

The Important Numbers:
30 Years

Investing in the Great Companies of the World has produced life-changing returns for the disciplined and patient investor.

Inflation – The Real Enemy (Updated 31 May)

The number one enemy of the long-term investor is the financial dragon called inflation (the silent but steady increase of prices over time). The only sane definition of money is purchasing power, and over the last 30 years, inflation in the UK has almost halved the value of your money.

But an investment in the UK share market has consistently provided protection from this enemy.

IN THE MEDIA

The media is not a friend of the disciplined and patient investor. Whether it’s on TV, Print or Online, the media prefers to focus on short-term returns, market predictions, and negative news. Which is not suitable for a long-term investor.

Below are the stories, podcasts, and images which we wanted to share with you this month, which are uplifting, interesting and informative.

These links below will take you to articles on other websites.

Positive News

Here is this month’s selection of positive news stories not related to investing.

Further Reading

Here are some articles you may find interesting this month.

Listen & Watch

  • The Power of Staying Put
    What you do is less important than how long you’ve been doing it for.
  • Chesterton’s Fence: Use This to Make Less Bad Decisions
    A core component of making great decisions is understanding the rationale behind previous decisions. If we don’t understand how we got “here,” we run the risk of making things much worse. In this video, you’ll learn the intricacies of an idea called Chesterton’s Fence and see the dangers of what happens when you ignore it…

A Picture is worth 1000 Words

  • Charted: The World’s Aging Population from 1950-2100
    As demographics continue to shift in the 21st century, the world’s aging population will continue to be a focal point for many global decision makers.
  • Visualized: Real Interest Rates by Country
    Interest rates play a crucial role in the economy because they affect consumers, businesses, and investors alike. This graphic the real interest rates (ex ante) of 40 major world economies, by subtracting projected inflation over the next 12 months from current nominal rates.
  • Visualizing the Workforce as 100 People
    In 2022, the U.S. population stood at 333 million. Of that, roughly 60% were employed in various jobs, positions, and sectors in the U.S. economy. But where did all these people work? What jobs did they do and what positions did they hold? Where do most Americans do their nine-to-five?