【学习笔记】懂你英语 核心课 Level 6 Unit 3 Part 4（V）阅读 Investors Beware!
When people talk about investing, they are always looking for the best advice.
Many are willing to pay a lot for it.
The problem with this, however, is that many financial advisor give the wrong advice.
Ultimately, decisions must be made by the investors.
Here are some guidelines that may help investors save a lot of money.
First, a key to successful investing is time itself.
What makes many investors rich is that they have invested over a long time.
This allows their investments to grow, even if they weren’t active investors.
Unfortunately, most people don’t start saving enough until it’s too late.
That lack of time limits the power of compounding.
So the best advice is to start saving as soon as possible.
What about economic projections and earnings growth estimates?
The truth is, nobody knows.
What they really reflect are people’s feelings about the future.
It’s interesting to note that someone who buys a low-cost index fund on average does better than someone who invests in an expensive fund managed by famous experts.
With investing, simple and basic can earn a bigger return than complex and expensive.
Sometimes the pros don’t know what they are talking about.
They just talk as if they do.
What about risk and volatility?
One thing for sure is that the stock market will fluctuate.
Since 1900 one of the largest index funds has returned about 6% per year.
Compare that to the average difference between any year’s highest close and lowest close which is 23%.
When an expert tries to explain why the market is down, they are really trying to explain why the sun goes up and down.
And finally, beware!
The financial industry is dominated by people whose only interest in your wealth is how much they can charge you.
Unfortunately, the louder a financial expert is, the more exposure he will get even though he’s often wrong.
This is one of the most important things to know about finance.
Don’t be misled by experts.
Multiple Choice
1. -The style of this article is? -friendly and accessiblew
2. -What is the purpose of this article? -to give advice about investing
3. -Why should investors beware of many financial experts? -Many financial experts are only interested in charging fees.
4. -When should investor begin saving in order to take advantage of the power compounding? -as soon as possible
5. An index fund is a type of investment ...that invests in all of the companies in a market index such as the S&P 500, which includes 500 companies.
6. In investing, the market refers to... the stock market, where shares of companies are bought and sold.
7. To lack something means... to not have enough of it.
8. If something fluctuate, .... its valuerises and falls in an irregular manner.
Please tap the first correct sentence to appear:
1. What problem is there with many financial advisors?
The problem with this, however, is that many financial advisor give the wrong advice.
2. How does a low-cost index fund compare to many expensive funds managed by experts?
It’s interesting to note that someone who buys a low-cost index fund on average does better than someone who invests in an expensive fund managed by famous experts.
3. Why is it important to start saving early?
That lack of time limits the power of compounding.
4. What kind of people dominate the financial industry?
The financial industry is dominated by people whose only interest in your wealth is how much they can charge you.
Repeat & Read Sentences:
1. Here are some guidelines that may help investors save a lot of money.
2. Unfortunately, most people don’t start saving enough until it’s too late.
3. The problem with this, however, is that many financial advisors give the wrong advice.
4. What they really reflect are people’s feelings about the future.
5. One thing for sure is that the stock market will fluctuate.
6. Sufficient time is needed for investments to take advantage of the power of compounding.
7. Unfortunately, the louder a financial expert is, the more exposure he will get even though he’s often wrong.
8. So the best advice is to start saving as soon as possible.
9. In investing, the market refers to the stock market, where shares of companies are bought and sold.