Simple does not mean it's easy

Investing is half as technically complex as taught, but twice as emotionally difficult as it is assumed.” – Morgan Housel.

Of course, oversimplification could also be dangerous. Therefore simplicity does not imply that it is easy. However, when it comes to long-term investing, simple ideas and processes often triumphs over more complicated and expensive alternatives.

In essence the investors’ objective should be an after-tax real return (through various cycles); i.e. a return above inflation to preserve the purchasing power over time. We achieve this via portfolios that consist of a combination of shares in companies or businesses and bonds (loan offerings, or contracts issued by governments are considered less risky) and perhaps other asset classes, for example, listed property.

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