Expat Money Blueprint:

Video three

Invest in the stock market

Video Transcript

So you need to do something with your savings – where do you put them?  Well, for most expats I think investing in the stock market makes sense.  Let me clarify what that means:

  • Remember your pension is invested in the stock market
  • I’m talking about buying low-cost tracker funds or ETFs, not stock picking

I think this route is suitable because they are easy to set up, low-cost, low hassle factor and you can just put your money in per month and get on with other things!

Compare this to property: 

  • firstly returns are lower
  • more hassle – more time to put in
  • YES, you can leverage which can be good, and YES, it can be a useful alternative to investing in the stock market.
  • But most people I’ve met can’t be bothered to put the effort in to do it properly
  • Hence tracker funds are your new best friend.

Here’s a clip from my SORT YOUR FINANCES IN A WEEKEND course which takes you through a basic portfolio that you could build – called the '60:40'.

So, as you’ve seen, historic returns of 10% are possible, and even if we assume returns are lower going forward at 5%, it would be hard to find such an efficient and elegant solution as putting your money in tracker funds.

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