|One million dollars...|
|...doesn't earn much money in a ZIRP environment|
Not only that, there are serious structural problems in "the system" that simply cannot be ignored by anyone investing "long-term." If you have 20 or 30 years to go until 65, and you are dutifully following "the plan" you've been told your whole life - you have to ask yourself a couple of questions:
There really is no argument at all - just fact.
The conventional path to wealth creation and retirement is totally hooped. It ain't gonna work for anyone. I am abandoning it.
So, before I get too far off topic, I'm going to bring it back to my original question: "What are you investing for? To create capital or for retirement?"
The answer to this lies in what I believe should be a new question altogether: "What are you working for?"
don't over-invest in the gold mining market, or something like that.
In these cases, I look at investing not so much as trying to make me "set for life," but more to provide capital that can enable me to become "set for life" through other, varied means. I wouldn't mind owning some real estate, but I think I would much rather have a garage apartment on a small piece of land where I could work, garden, and maybe keep some goats and chickens. Don't get me wrong - I'm no diehard prepper, and while I think we are going to be facing some tough economic times that will alter our sense of reality, I also think life will go on. I just want to set myself up so that I can still transfer into a "semi-retired lifestyle" that is suitable for me as life does go on.
I want to create capital, certainly - but I want to use that capital to try and build a sound, diversified way of creating an income for myself, along with being able to confidently sail the troubled waters which are assuredly ahead.