Most of us go through these stages in our lives.

Life stages

In our 20s, we think we’re freaking invincible and we can do no wrong. We know better than everyone else; everybody that has every loss money in stocks do not have the same unique insight we do. So we start picking stocks. We pick 5 to 10 “hot” stocks based on our analysis or tips from friends. Losses are blamed on “luck”. Wins are because we’re just that awesome and can do no wrong.

In our 30s, we realize our investments haven’t yet made us a millionaire. The expenses are increasing with the cost of kids and we’re concerned for their futures. After losing some money on our investments, we start thinking of “safer” investments. That’s the time we look at investment linked trusts and actively managed unit trusts. After all, professional investors and advisors should know better …