This news isn't about cryptocurrencies like Bitcoin or Ethereum! It's about what a financial expert doesn't invest in. He's sharing his own investment choices, not giving advice on what you should do. This person looks at many investments, but chooses to avoid some.
- He avoids actively managed funds because he thinks passively managed funds are simpler and better.
- He skips real estate because it's risky and not always a good way to spread out your investments.
- He doesn't invest in funds focused on only one industry (sector funds) because they haven't done well recently.
- He stays away from 'alternative investments' as their past performance has been mixed.
- He doesn't buy I bonds (a type of government bond), even though they're good for fighting inflation, due to limits on how much you can buy.
| Investment Type | Reason for Avoiding |
|---|---|
| Actively Managed Funds | Too complex, passive funds are better. |
| Real Estate | Risky and less diverse than people think. |
| Sector Funds | Poor performance over the last 10 years. |
| Alternative Investments | Mixed track record, inconsistent results. |
| I Bonds | Purchase limits make it hard to invest significantly. |
