Why indices can lead investors astray

Why indices can lead investors astray

Andrew Clifford

On the surface, investing is a simple concept: we save, or defer purchasing goods and services to ensure we have future income to fund our needs. We invest with the objective of generating a return on our savings, to compensate for not consuming now and to accumulate funds to provide the desired future outcome. Platinum Asset Management breaks down some investment basics to highlight the importance of understanding the underlying reality of what you’re investing in, rather than focusing on the abstractions, which can lead to poor decisions.

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This article was first published by Platinum Asset Management.

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