Sense of financial education
The times of high yields and relatively simple appreciation of money in the banks are gone. Each one of us faces a variety of alternative forms for the savings appreciation that came to us from well-developed capital Western world. Whether it is investing into funds, various saving programs or purchase of a real estate, every such decision bears a certain level of risk.
The statistics quote an alarming quantity of people with a weak knowledge about finance, despite the fact they work with them daily. Similar situations, when investors have the feeling that achieving a yield is relatively simple, emerge in the world as well. Speculative bubbles often arise in the financial markets and an uninformed investor may lose significant part of his investment or even property.
"Money does not evaporate, it only changes the owner.”
Such drastic slumps in values of investments mostly affect small investors. Their only effective weapon is to familiarize themselves with the risks and know the factors influencing development in the financial markets. Despite a very short capital history and little experience we gradually participate in investing, either directly or indirectly.
Investing seems to be simple on the first sight, until the value of the investment significantly plummets. It is necessary to possess an appropriate knowledge to make a correct decision at a right time. Notwithstanding the “advisory” activities of various banks and financial institutions, the responsibility for investment decisions is on each one of us.