Some thoughts on investing as we go into 2022

I’ve not written an investing-related post for a while. I try to share thoughts and ideas related to investing more on my Instagram page these days. But it’s sometimes useful to write these things down and so please find below a “brain dump” summarising my high-level thoughts about investing as we approach the end of the year…

  • Other than perhaps founding your own business, investing is the best way to get wealthy.
  • Be clear on the difference between investing and trading and do your research.
  • The biggest gains can be made by investing in successful start-ups before they go public / get acquired.
  • In contrast, don’t touch penny stocks- they are trash.
  • Certain large industry-leading companies are sitting ducks for disruption e.g. car brands that have failed to invest in EVs.
  • Try to invest with ethics in mind and note that the S&P500 contains plenty of unscrupulous companies.
  • Growth is often easier for companies worth £1bn vs. those worth £1trn.
  • The compounding effect of subscriptions is powerful and perhaps not fully understood by all investors yet.
  • Green stocks are almost certainly undervalued given the critical role they will have to play in the next decade.
  • AI and VR are likely the technologies that are most likely to create the most value in the years to come.
  • Events like Covid are a reminder that circumstances can change dramatically pretty much overnight and so diversification and contingency planning is key.
  • Investing is a long game- impatience and greed are the enemies of an investor.
  • Freetrade is the best platform in the UK in which to buy stocks.
  • Crypto is either the foundation of a powerful Defi movement with the potential to change the world, or the world’s biggest Ponzi scheme- only time will tell!