Today, we read about a lady who bought an insurance policy where the annual premium payment was significantly higher than her annual income. Was this untenable situation due to her ignorance, greed or the misdemenour of her adviser? Only the parties involved will know the truth.
Just last week, a wine investment fund went awry, and one investor aged 65 was quoted that he needed to find a job, now that his liquid investment has literally gone down the drain.
And what about the unreal guaranteed returns from property investments in Brazil, to implausible promised returns on gold and if some might recall in an earlier period, the wonders of investments in Ostriches, with its professed multi usages!!
Where does one draw the line between genuine investment risk and blind greed?
Contentment and stewardship with and of one's blessings will go a long way towards curbing many of these misadventures.
And a reality check that not everyone will have a blissful retirement just because one wishes for it will ensure that one do not fall prey to the delusions "hawked" as retirement planning, that in reality is a trapdoor to an even longer slog, to make up for the losses lurking round the corner.
Sadly, with the specter of rising interest rates and corporate bond defaults rising, a fate not necessary worse than death, but could be equally excruciating awaits those who partake excessively in the almost free monies offered by financial institutions, to borrow against the excess value of their properties, to invest in high risk, high yield bonds.
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