If you are a Simplicity investor you will have received an email where they announced: “We’re now investing in high growth Kiwi companies”. I did a bit of reading to get an understanding of what they are trying to achieve here because it’s not enough to just contribute to my KiwiSaver, it is important that I understand and feel comfortable with the choices they are making on my behalf.
Borrowing money to buy shares is something that I don’t hear about that often and I have only really come across a small handful of examples of it in the last couple of years of blogging. Whereas we borrow vast sums of money all day long to get into the housing market, without the word ‘risk’ ever really being used, when we borrow money to buy into securities our first instincts are concern and fear.
A while back I asked you to send me in any questions that you are looking for an answer to and I received well over 100 responses. So, I’ve hand-picked just four to answer today and I'll come back to the others in the future. On with the questions!