Where the second commandment revolved around finding out what return is needed to achieve your investment goal, the next question is: What investment attitude do you adopt? As an investor, you can take an active or passive stance on the stock market. The choice partly depends on the return you have in mind, and partly on convictions. If the required return is around 5%, a passive attitude will suffice. On the other hand, anyone who has to make a 12% return to achieve the investment goal will have to work well as an active investor.
Investment expert Jim Tehupuring dives into the different investment types and additional advantages and disadvantages.
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