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@marcus.H
8 ай бұрын
Very good video. "What Net Worth Puts You in the Top 10%?" What if we excluded the tiny number of super rich households that skew the real figures? To me, that's the true figure. What is that number??
@DamienTalksMoney
8 ай бұрын
@@marcus.H Very hard to say because basically the richest do not report their wealth as i tried to show around 800 billion is missing.. Which is this richest cohort and that makes up nearly 1/20th of total wealth in the UK which is AWOL
@marcus.H
8 ай бұрын
@@DamienTalksMoney I see I'll ask bing. Brb
@Waqas-Umer
8 ай бұрын
@@marcus.H this was 4 hours ago. i see bing is as slow as internet explorer. 🤣🤣
@maurikid23
8 ай бұрын
did you take down the video about immigration and house price correlation?
@Mallarkey
8 ай бұрын
14:25 I ageee! "The Miracle of Compound Interest." Last 20 years teaching Secondary School Maths I've always tried to slip in as much financial maths as I could get away with, but it should be explicitly taught. Credit, mortgages, pensions, tax, investing. Teenagers are rarely as 'interested' in the lessons as when we cover compounding.
@DamienTalksMoney
8 ай бұрын
You are a hero of a teacher! Why do they not speak to people like yourself and ask what would benefit the kids the most. Thank you for the work you do
@mrmeldrew693
8 ай бұрын
@@SK-kh2rsI'll tell that to the bank at the start of next month when they want February's mortgage payment.
@stumac869
8 ай бұрын
Keep it up because without understanding such basic concepts many will get ripped off by the establishment.
@bigboldbicycle
8 ай бұрын
@@SK-kh2rs Sure, money isn't everything, and enjoying life is important. However, money is a great way to help you get what you want and need to enjoy life. As people say, money isn't everything, but without money, you are nothing.
@Jimmy_Jones
8 ай бұрын
@@SK-kh2rstell that to the kids that get kicked out by their parents and need to somehow afford to live.
@ianboyd9723
8 ай бұрын
If you haven’t got the aptitude or focus to start and be successful in business, then at least buy chunks of other peoples businesses, who do have that focus and aptitude.
@DamienTalksMoney
8 ай бұрын
This
@knappster1754
8 ай бұрын
Risk management needs to be taught in school. People take huge risks everyday without realising it, and then shy away from fairly minor risks.
@DavidHewitt-v6x
8 ай бұрын
Maybe damien could follow jamie's school dinners with damien's school finance if theres a big problem in teaching financial knowledge in schools.
@bobbydwheelhouse
8 ай бұрын
It’s not taught in school so people just take the safe option and work for people rather than working for themselves, making others wealthy.
@stumac869
8 ай бұрын
Basic maths would be a good start because many that leave school don't even achieve that.
@esmeecampbell7396
8 ай бұрын
@@DavidHewitt-v6x that fucker took my Turkey Twizzlers 😂 What would Damien take from us? Lol
@bigboldbicycle
8 ай бұрын
@@stumac869 both maths and personal finance are just as important, but having good basic maths skills doesn't automatically give you good financial skills. I was good at maths in school, I was ok with personal finance, but there were massive holes in my knowledge. I didn't really understand investing until my late 30s when I spent time to study it in my own time.
@kw8757
8 ай бұрын
Another 16 minutes and 16 seconds of education, enlightenment and entertainment, thanks Damo.
@dpspeedy
8 ай бұрын
Loved the 3.14159 reference, very subtle but a stroke of genius 👌
@RozFrankie
8 ай бұрын
Made my mathematical heart sing.
@sammy_sam_leonardo
8 ай бұрын
You’ve been killing it with your videos recently, Damien. Top work 👍🏼
@StewartGreer-c6v
8 ай бұрын
I am a professional risk manager with experience in risk consultancy, UK government and private sector including banking and defence. The one thing almost everyone gets wrong is that risk is wholly negative and that scares people into not taking any. Risk management should properly be called risk and opportunity management and anyone thinking about risk should focus equally on opportunity. Not just what could go wrong and how can I avoid it, but how can it go right and how can it make that outcome both more likely and more beneficial.
@DamienTalksMoney
8 ай бұрын
Exactly this! I am glad a professional of your calibre agrees with the sentiment of the video
@ChuckleVision7
8 ай бұрын
Great insight..! I'm using that as my reply to every short sighted ney sayer at work next week.. 🫡
@amitray6614
8 ай бұрын
What a great point - Risk and Opportunity Management 👍
@Broadswords
8 ай бұрын
Def needs more education on risk, but also negotiation topics, the value of contracts and what to look out for and some of the pitfalls, also developing a plan if not strategy. It’s never mentioned but there is often a big difference in attitude applying toward ‘own money’ versus company money, I’ve seen people more than happy to go outside of process to obtain goods & services without contractual cover, without negotiating, having work undertaken or software installed then go wrong and in doing so generally opening the company up to massive risk, yet wouldn’t dare be so reckless in their own world.
@atul9380
8 ай бұрын
I work at a big charitable foundation and we are changing terms like ‘Risk Register’ to ‘Risk and Opportunity Register’ to take into account the fact that our grant making has big risks but also big benefits and it has changed the perspective of how we engage with partners
@jonathangiles4854
8 ай бұрын
Reminds me of when I had an open day at Durham Uni, and the first thing they said to the room was “I know most of you will have applied to Oxford and Cambridge”. I was moving in different circles 😂
@slayerrocks2
8 ай бұрын
Damien, what is the answer to the title of the video? What sum places you where?
@benhicklin3179
8 ай бұрын
Loved the personal tidbit at the end! I'm also a Durham university graduate from a few years ago, and I had a very similar experience of having my eyes opened to a world of finances and life experiences that I had never known existed before. Also being the first in my family to go to university, it really opened my eyes as to how little financial education I had received growing up in a working class house. I know investing and saving isn't going to suddenly mean I'll pay off my mortgage tomorrow, but it will best prepare me for my own future, and hopefully the future of my kids as and when I have them. All the best dude!
@asgriffith
8 ай бұрын
That pie bit needs to be a Short, absolutely stellar opening
@bigboldbicycle
8 ай бұрын
short crust...
@JulietVorster
8 ай бұрын
Thanks for this. I’ve been sending your videos to my 18 and 22 year old nieces. They don’t have much yet, as they are both students, but no one in our family has ever talked about this kind of information. They will have resources soon, and I wish someone could have told me about this stuff 35 years ago. I’m also going to be teaching this stuff to my grandson when he’s a little older. This is one way of breaking the generational poverty chain. Thanks again. Keep doing what you do.
@adam872
8 ай бұрын
This is an excellent video. I couldn't count the number of people I've known or seen comment online who say that investing in the markets is no better than going to casino or buying a lotto ticket. That's completely untrue, but I don't completely blame them for thinking this. It takes a reasonable amount of knowledge and a bit of internal fortitude to stay invested while there is turmoil happening, as well as a sensationalist media feeding daily stories predicting doom. Even my own wife, who has been on the investment journey with me, is still skeptical about the wealth building properties of investing in shares, bonds or for that matter starting your own business. This is why I started on the education path early with our kids, like my old man (who had modest means, but the right mind set) did with me. They now understand how wealth is built for regular folks and take more of an interest in it. They're not content to just have their savings from work etc sitting in a bank account not doing anything for them and getting eaten away by inflation. I wish more people thought that way. So bravo Damien for putting the data out there.
@DamienTalksMoney
8 ай бұрын
Thank you! Also your kids are lucky to have you and I would love to hear any tips you may have on teaching them about this stuff
@adam872
8 ай бұрын
@@DamienTalksMoney no worries! The first thing is to teach kids the maths behind compound interest and how it can be your best friend or worst enemy. They learn a bit about this at school, but I like to show them practical examples of it. The second thing is to explain how public companies, ETF's, index funds and bonds (public and corporate debt) work and how you as an average punter can invest in them. The third thing I've taught my kids is the time value of money. All of this should give people a pretty good grounding in the basics.
@adrianl5899
8 ай бұрын
Away from the technical aspects of investing (compounding etc.) - which I think are more suited to older children in the main - I would suggest the most important thing to teach children throughout their childhood is delayed gratification. Because, without developing that mindset, we will all just grow up wanting everything 'now' and putting 'now' first. Not to be nostalgic, but until relatively recently, we had to wait to buy a record; now we can instantly stream it. We had to wait a week for a next TV show episode; now we can binge the boxset. It's likely harder now than previous generations to 'wait' for almost anything. Without having a delayed gratification built into us, we will find a reason not to invest for our future self ('might as well spend it now' syndrome). Ultimately, the whole foundation of investing is delayed gratification. By displaying from an early age that we, as adults, have to wait for things, as our children do, and that the wait has great value, I think the technical aspects of investing 'make sense' because the context in which investment is made (long term) has been wired into us. It sounds like you learnt 'the right mind set' from your dad, and this has meant the technicality of money/investing works for you, and that you are in a position to pass this on to the next generation of your family. I do believe that, in many cases, it just takes one person in a family lineage to forever alter the financial path of that family. It probably only takes one person to break it though, too!
@adam872
8 ай бұрын
@@adrianl5899 sound analysis and I agree
@djhworld_
8 ай бұрын
At school we were never taught about even the basics of personal finance, let alone investments.
@george6977
8 ай бұрын
You probably were in Maths: interest, compound interest.
@TheDan9169
8 ай бұрын
The government of the day doesn't want financially free people, they want a never ending supply of worker ants paying their taxes. This will never change.
@claudioricci1
7 ай бұрын
@@george6977maybe the odd lesson - but actually ingraining a mindset of wealth creation, understanding risk, inflation, exchange rates, stock markets - these subjects could all be taught in maths at school - yet instead it is all theories and Pythagoras therums
@Marco65730
4 ай бұрын
You and I weren’t but you can bet those at the likes of Eton were
@joshwhite6872
8 ай бұрын
When writing this comment, I am 22 and have just started an index fund, and I'm paying into my company pension. One of the problems with people my age is that they aren't looking that far into the future. They see the money that could be used for the company pension as money towards renting a house. This will only change if schools teach this topic in greater detail.
@m4yh3m121
8 ай бұрын
Surely the parents should be responsible too?
@slayerrocks2
8 ай бұрын
@m4yh3m121 how do parents in the lower percentile, with hardly any disposable wealth, learn enough to teach? Damien said, those in the higher percentiles already pass on their experience and knowledge.
@andrewreddy7063
8 ай бұрын
just remember you can move your money around in company pensions, you can move into cash if you think the global market is going to tank. Most people select a fund and never change it. this is a big mistake.
@Spongefov
8 ай бұрын
I know I'm in danger of being a bit hyperbolic, I've said this on one of your videos last year and I'll say it again: you're gearing yourself up to be my generations Martin Lewis - informing the masses on financial literacy. sorry I'm not subscribed, but the algorithm recommended this which is telling. so you've got the momentum behind you Damien, keep it coming!
@rudolphteperberry3888
8 ай бұрын
In my experience, in so many cases, educating people does not work. I've been trying for years to get friends and family to invest and it's like banging my head against a brick wall. I've pretty much given up. Their loss!
@joshclayg
8 ай бұрын
The last thing the powers that be want is financial literacy for the masses - that would represent a very real challenge to the status quo.
@anterosLondon
8 ай бұрын
I started late in my mid thirties as nobody ever taught me about money, hopefully your videos will reach many and give them the education is needed
@WilliamM007
8 ай бұрын
Damien, what a great guy. I used to be in financial services and am well informed, but still love his straight forward, honest and inclusive style. If only more people were better informed and participated in investing, that would be a better situation and Damien is more than doing his part. Investment is for everyone. Start now, however small and drip it in over the long term. Nobody told me this when I was young, but I eventually worked it out and in my fifties, no longer need to work.
@stuartslyper1479
8 ай бұрын
The difference in disclaimers for credit cards and investments has always struck me as strange. The one *might* lose you some money. The other will almost certainly lose you 20-30% per year (in the form of interest). It’s like putting warnings on health food but not the cheese burgers…
@miguelvieira2353
8 ай бұрын
This was one of the best videos about investing I've ever seen. The factual and sincere information you put out was on point and I think everyone watching this "pause" their life for a few seconds and actually thought about what you said and how you said it. Simply amazing. Just subscribed because of this video and will keep following your videos for sure. Keep it going!
@metageist666
8 ай бұрын
Another excellent video. And another that would have benefited greatly from at least acknowledging the existence of Bitcoin. Some of us UK plebs have had their life turned around by investing in the new modern asset class that was designed specifically as a response to the financial crisis, is working perfectly and growing 150% per year on average and has the supply crunch on the horizon now the Blackrock’s of the world are marketing it. I’d love to hear your thoughts.
@gjcroudace
8 ай бұрын
The government doesn't want the masses of people to be educated in finance and become financially secure, they want the majority of people working from pay check to pay check. Not investing to become financially free, that is why finance is not a core subject.
@lynchs2441
8 ай бұрын
Great video Damien as always! Your experience with uni and mentioned survey about "money talk" with children are reason why I'm much more open to early discussion about these topics with kids (and Junior ISA as example of trust towards them)
@jamesmulrooney3309
8 ай бұрын
Thank you for always explaining everything understandably
@vipertoasties8017
8 ай бұрын
Your videos are incredible but the light comedy that you incorporate seamlessly just makes them pure class, the pie references throughout the whole thing had me cackling throughout even though this is a topic that hits close to home as I’m struggling myself. But it really does make your videos a much easier watch as they are so so important for young home seekers like myself!
@Clampers
8 ай бұрын
Great video Damo! I have been investing since 1985, and seen a few major crashes in my time, but each one was followed by a bull run that regained the losses and then went on to increase my wealth. I never panic, or alter my investment strategy when crashes come, I just ride them out and stay the course.
@Bloody_alchemy
8 ай бұрын
Stay the course 🤘🏻🤘🏻
@MrSuperOurs
8 ай бұрын
The part about your university experience resonated so much with my experience. I'm a second generation immigrant (I was born in France, from Sri Lankan parents). No one in our whole family went to university. My sister and I were very fortunate, as our parents pushed us to study hard. We were able to enter very prestigious universities in France, as education is free. What I realised is that despite being technically open for everyone (since it's free) the vast majority of students accepted to these fancy unis were coming from very privileged families. Not because the families paid for it, but because just like wealth, high education is also inherited. These kids were playing a game I did not even know existed.
@Mikey_NoCap
8 ай бұрын
Damien, your vids just continue to get better and better, congrats on your success, great to see. The production on your last few has been super slick and really helps deliver the messages. Would love to see something on current ‘retirement’ ages and how people are going to save enough to make even a normal retirement possible, nevermind the much touted FIRE route to an earlier work exit. Feels to me that the current economic climate, inflation, fuel costs and housing costs make saving robustly whilst raising a family and living life only a dream for most.
@withwilk7473
8 ай бұрын
Most of the people at the bottom don't even own the laptop, phone or car, they rent it...
@bernardo.daSilva
8 ай бұрын
Top quality compiled data Damien! You just keep getting better and better. I still have friends who think long term investing is not for them cos they like seeing their money in their bank account. They don't see "depreciation"
@AdamGP100
8 ай бұрын
Absolutely fantastic video. The DfE should get you, or your videos, in front of every school in the country Damo. Every child should have the right to learning the basics (compounding, asset classes etc), and how the application of the readily accessible tools (stocks and shares ISAs, pensions etc) can/will impact their lives.
@jneale7715
8 ай бұрын
I'd imagine if those bottom percentage people actually worked though the chart would stop at around 6 boxes and be closure to finishing around 6% Before someone comments I get decile would be Dec- splitting into 10, but I simplified my explanation...
@russallan6693
8 ай бұрын
Growing up in a pay check to pay check family. Never really thought much about money. Just saw it as a way to pay for stuff you needed. Wasnt until i reached 40 that i start investing. KZitem has been a great education in terms of understanding financial concepts. Its hard as when you finally get to that realisation you realise that youre already 10-20 years behind better educated people. The matrix term gets applied alot. But this compounding knowledge in familes just seems like an unintended but present issue that keeps people at their level
@Leeds71
8 ай бұрын
100% - if people were taught the basics of saving, investing and currency at school they would be so much better off - which is why in the UK it will never happen.
@nolimittolearning4414
8 ай бұрын
Damian. I have to say this is probably the better video you’ve made so far. I like the new graphics, I love what you are doing, I love your passion you have to guide us. I even felt your emotions, holding back. Wanting to say.. don’t let those rich pr1cks tell us we can’t! Just so they can profit from doctrinarian us. Don’t invest, it too risky, buy a house instead and over 25-30 you’ll own it but, I charge you hundreds of thousands in interest. Don’t do what I do, do what I say. Anyway. On a lighter note. Once again, I love and can’t wait for your next release. Thank you. BhD
@PriscillaMN
8 ай бұрын
I definitely was subject to the fears of investing. I have been thinking about it since I started University and only finally started investing after leaving uni. Very delayed but I’m here now and I’m glad I’m using these vehicles. There is some serious gatekeeping with the true vehicles of wealth building. Very grateful I now have the knowledge and am sharing it with all those around me.
@Paterleano
8 ай бұрын
Damien my story is the same as yours, single parent, council estate, went to top Uni, graduated,couldn’t get a job, couldn’t speak English properly (according to them, had a London ghetto accent), had no internships under my belt. Couldn’t get a job easily, eventually when I did didn’t understand how to get on in a big corporation, left or would have got sacked. Started my own business now I’m in the top 2 or 3 percent. It’s not easy to level up. Having successful educated parents makes a big difference, state school teachers are useless.
@timclark4195
8 ай бұрын
The cynic in me believes that not teaching financial literacy in schools is a deliberate decision; our capitalist economy would fall apart if we were all financially literate and spent sensibly. The optimist in me agrees with the cynic.
@Abdul_Rahman86
8 ай бұрын
I’m the greatest risk to my money. The amount of BS I’ve spent my money on. I invest to protect my money from myself!
@profootball5210
8 ай бұрын
I appreciate you and your content < Technical Analysis is good but I find It truly baffling that major crypto youtubers just look mostly at pure T.A and completely ignore the bigger narrative of why BTC is pumps/pumped and why the future outlook will be even rosier than it seems. It's kinda irresponsible to ignore the fact that each ETF launch so far has caused a major dump at the peaks of BTC. We were already on shaky footing with historically low volume and almost pure whale pumps, narrowly avoiding a long-term bear market. More emphasis should be put into day trading as it is less affected by the unpredictable nature of the market. I have made over 27 btc from PbatesLTD insights and charts, its been one step ahead of other analysis….
@thomasnasl
8 ай бұрын
Most young people rather watch tiktok videos all day. Education only works to a certain degree. Financial education and knowledge is the biggest wealth you can have, not the latest iPhone model or a fancy car. Unfortunately we live in an instant gratification age where physical wealth and showing off means more to most people than anything else.
@minimad8793
8 ай бұрын
Glad your keeping the facts to the masses coming dude. Very much appreciated by me and am sure all those who watch your content. Wealth building does take time and all that you have passed on has sunk in and the habit is there to get me a decent retirement compared to where I was 4 years ago. Thanks again dude.
@TheFirstRealChewy
8 ай бұрын
Don't invest money that you can't afford to lose. That statement has crippled me for decades. I taught myself about investing a few year ago and that changed everything. The rich will keep getting richer because that's how it works. Investing is a requirement to becoming wealthy. You might not make it to billionaire status, but you can become wealthier than you are today.
@DamienTalksMoney
8 ай бұрын
Exactly! That statement is so damaging because it implies investing is a all or nothing endeavour where you essentially win or lose everything.. The reality of say index fund investing is so different to that
@adamp6320
8 ай бұрын
It's more don't gamble money you can't afford to lose on speculative investments like crypto or single stocks or anything that seems too good to be true. You should definitely invest in low expense ETFs for the long haul, you can't afford not to invest!
@DamonGreen
8 ай бұрын
This is fantastic Damien thanks. The conclusion is powerful, we fail in state schooling to educate on finance, i have never understood why. Very interesting point about the loaded game at class based level, another point that rings true. Fantastic video, its the perfect balance of information, insight and humour. Bravo Sir!
@ltdjag7577
5 ай бұрын
Exactly. We don’t know the game, the rules of the game, or even who is even in the game. We were never taught.
@plasticcreations7836
8 ай бұрын
I started investing in the stock market when I was made redundant after the 2008 financial crisis. Mostly because I didn't have any savings before that and I managed to get a new job fairly quickly so I could invest the redundancy payout. Before that I had the view that it was risky to invest in stocks and I started out with no idea how to do it. I taught myself about it from the internet. I now really believe that investing should be taught in schools.
@roberthuntley1090
8 ай бұрын
One question - how do you place a value an unfunded pension (e.g. public sector defined benefit, or state pension). Do you try and estimate a number based on comparable commercial products? Or disregard it? (From memory, HMRC uses a nominal value based on 20 years payments. Is that any better?). Would welcome some clarity. Related question - shouldn't these values also show up in the government debt figures?
@beancount811
8 ай бұрын
The purple knife slicing that 🥧 stole the show.
@DamienTalksMoney
8 ай бұрын
I thought it complimented the green tape nicely
@laurieproctor3572
8 ай бұрын
@@DamienTalksMoneythere’s got to be a joker there somewhere
@GAK8919
8 ай бұрын
Top work Damo. I grew up in the 90's. Schools didn't address financial education including investing, risk, compound interest or tax. I could've been in a much better place financially if they did. Most people don't learn this stuff until they start thinking about how they can get more out of the money they earn or how can they save more money. By that point there's years of missed opportunity to invest. I know I saved money for years before i invested and lost out on thousands due to it. Also with tax (slightly off topic I know), most people with a normal PAYE job just trust the HMRC to take what they should and wouldn't even know if it was right or wrong. Most people just get bamboozled by tax codes and financial years with little understanding on the repercussions of not understanding what you need to check.
@bencarter96
8 ай бұрын
The education system is designed to provide workers. If everyone was rich, nobody would be rich.
@DamienTalksMoney
8 ай бұрын
For a bit of fun i will give £20 to the first person who can name every pie I mentioned in the video. Just reply directly to this comment.
@MsMartin21
8 ай бұрын
Mince steak pie, vegan pie, Occu-pie 😅
@buttonmonkey6845
8 ай бұрын
All of the above and Jonathan Pie😂😂
@DamienTalksMoney
8 ай бұрын
I need 1 full clear list! lol
@richardhands904
8 ай бұрын
Overall weath pie, Vegan pie (minced beef steak), pie chart, Jonathan pie, occupie, magpie, 3.142, pie-vatley educated students, pie in the sky.
@richardhands904
8 ай бұрын
Got it, never have I ever listened for the word pie so hard lol @@DamienTalksMoney
@gregarmstrong2500
8 ай бұрын
I've been watching your stuff for a long time and it always refocuses me on my personal finance, so thank you for that. I'm also always amazed at your ability to not just get so angry at our entire system every time you go through this stuff. That pie segment at the start is the best demonstration of the absolute failure of our current version of society that I've ever seen. I'm not a communist, but what we're doing right now can't possibly be the best system.
@ilikelampshades6
8 ай бұрын
Mad to think a part-time librarian baby boomer who bought a house when they were young will have more wealth than a millenial, world-leading medical consultant at the same age
@GuybrushThreepwood79
8 ай бұрын
Excellent video, Damien! Your story of University is very similar to my own (and undoubtedly thousands of others.) I remember sitting at my graduation realising that everyone in that hall was getting the same bit of paper as me and that was happening in more unis than i could imagine. I realised at that moment i'd done uni all wrong. But, i had nobody to tell me any different. I always try to pass that on.
@andrewcarter7503
8 ай бұрын
Terrific video and I hope one of the key points wasn't missed. When I was 18, I would have been in the bottom 10%. I'm now 61 and in the top 20%, nudging the top 10%. Would 18 year old me think wealth distribution was "unfair"? Yes. Does 61 year old me think the same? No.
@djsnack7887
8 ай бұрын
One of the best things I discovered in this 2024 year is your channel, mate. Your videos are just amazing. Thanks for your hardwork and for keeping us informed.
@DamienTalksMoney
8 ай бұрын
You legend! Lovely comment this thank you
@CaraxYT
8 ай бұрын
5:59 I thought the Lifetime Allowance had already been scrapped?
@DamienTalksMoney
8 ай бұрын
Sorry my wording here is unclear i can see that watching it back. I meant to state that it may or may not remain like that if a new labour government come in as the rumour is they would reinstate it.
@bigboldbicycle
8 ай бұрын
I think they should should increase the cap rather than scrap it. The super rich should not be allowed to use pensions to stash away another £150m.
@justinstephenson9360
8 ай бұрын
@@bigboldbicycle the lifetime allowance was always a stupid idea because it was not a limit on the amount you could put into a pension but instead was a limit on how large your pension pot could grow - it was a tax on investment growth and inflation. We already have an annual limit on the amount you can put into a pension tax free (I think it is about £30k per year). You could have a lifetime contribution limit (or at least contributions which get a favourable tax treatment) of say £750k which would 30 years of contributions at the max annual limit
@buffalowilliam
8 ай бұрын
It's not the risk warnings or the risk that puts people off - people couldn't 'invest' in cryptocurrency fast enough. No one in this country knows how to buy Tesco shares but everyone studied up and acted on how to acquire digital assets as fast as they possibly could. There's just a total lack of financial literacy, enhanced by media misinformation. It's absolutely criminal that people don't realise how easy it is to access wealth. It's literally at their fingertips. Whenever you read about finance in the press it's always about crooks or unique billionaires or scams or lucky bets or one off investment opportunities or autistic traders making 100 million in a day. The reality is a bunch of boring, middle aged, white dudes putting money in boring, safe investments and getting richer and richer and richer. It's beyond unfair that people aren't educated about it.
@nixer65
8 ай бұрын
Hi Damien - one of the pension issues (which I ran into) is that as your wages reached the taper the amount you could put in dropped to effectively nothing (as low as £4,000/year up until recently). This was happening at a surprisingly low number (around £240,000/year) such that it was impacting the professional classes significantly (surgeons, lawyers, etc.). This effectively made pensions a useless savings vehicle and has had a significant impact on the UK market as once you are now using ISAs and other schemes then you start looking more actively - and at that point the US market beckons. Something for one of your future videos perhaps?
@continuouslearner
8 ай бұрын
Can you explain what you mean by wages reaching the taper amount?
@Barnacl3_Boi
8 ай бұрын
As in, a £240k salary? Not sure that counts as a relatively low amount 😂
@nixer65
8 ай бұрын
@@Barnacl3_Boi When you start your career you’re earning peanuts. Over the next 30 years you slowly go up the ladder until in the last five years (or less) you get to the point where you are earning what seems like a generous salary. Finally you can put a decent amount into the pension…only to find that you can’t. I know £240k seems a lot…but it really isn’t given 30-40 years of specialisation in a field and is more common than you think.
@Barnacl3_Boi
8 ай бұрын
@@nixer65 My father is nearing retirement and on what he considers to be a very sizeable 60k. Please at least have the self-awareness to realise that you are doing much better than 90% of the population
@nixer65
8 ай бұрын
@@Barnacl3_Boi I don’t disagree - I have been very lucky.
@tancreddehauteville764
8 ай бұрын
My wife and I are in the top 20% if we include our pension funds, but we feel far from rich.
@julianfp1952
8 ай бұрын
Maybe the generations have moved on now but my impression from - oh I don’t know, maybe the late 1980s, 1990s and 2000s - is that when the entertainment industry made content about the financial industry they tended to skew their attention towards the fast, frenetic day-trading side of the industry (more dramatic I suppose and after all drama not education is their business). An example would be the Gordon Gecko character in “Wall Street”, with help from Bud Fox, manipulating the price of Anacott Steel upwards and then the stock crashing all within the course of a single day with investors rushing to get in then panicking to get out in time (if I’ve remembered that bit of the movie correctly). Add to that the occasional stories in newspapers at the time about various teenagers, students etc making lots of money day trading from their bedrooms and for certain generations I can see why they have such a distorted view of the bigger picture of what investing in the markets is about.
@marcosandrone2511
8 ай бұрын
… I bet your audience is composed mainly by people in the top one or two deciles that already know these things. I m afraid that the vast majority of the rest are watching funny videos with dogs and cats.
@dddddbbb
8 ай бұрын
Subscribed because of how long it took you to put together the "equally sized boxes" ;)
@juliancoulden1753
8 ай бұрын
Thank you for this enlightening, erudite and articulate presentation. Simply put but pretty easy to understand, at least the most important principles.
@ArktosBears
8 ай бұрын
It would be nice to have a breakdown by age. Obv net worth is dragged up by older people. It would be nice to know where I stand
@bdmsouth
8 ай бұрын
Great video Damien, agree 100% this stuff should be taught in every school
@catherineashman169
8 ай бұрын
Love your channel Damo. I've set up a stocks and shares ISA via Vanguard for my daughter on the back of your vids. Also love the Making Money podcast, I've listed to them all and re-listened to a good few! The Paul Jonson one was so eye opening for me. Please keep em coming Damo and T and Snowball! :)
@chrisgray1507
8 ай бұрын
I think you’re spot on. The school education system is a joke. Money, student loans, taxes, mortgages are all things that need to be taught.
@continuouslearner
8 ай бұрын
Can you make ONE video each quarter that clearly explains what are the CURRENT BEST investment options and PIN that video to your channel homepage (un-pin the previous video). Its quite a lot of detail to wade through watching your videos (as enjoyable as they are) and then not knowing which of your previous advise is still accurate at the time of watching the video. Sure, you cannot offer a one size fits all approach BUT there must be certain BASICS of investing 101 (e.g invest in such and such Stocks and Shares ISA taking into account platform fees and previous return on investment and future potential) that you can recommend that helps broad majority. This will help new people (new to investing or new to your channel) easily move onto the ladder of investing and attempt to bring a bit of balance to the wealth inequality.
@CC-uc4gq
8 ай бұрын
At the moment, low cost ETFs, with someone like Vanguard or Fidelity seems a good approach. Split your money into 3 or 4 over a whole world fund, an S&P 500 one, then a dividend producing one, if you're in USA, then SCHD is popular.
@ed.o5991
8 ай бұрын
Thanks Damien, very helpful and will make me look at risk differently.
@TriSamples
8 ай бұрын
For most people they don’t have spare money. The middle classes have been squeezed to breaking point, their bills consume everything. They don’t pay into a pension because if they did they couldn’t pay the council tax. Honestly you need to be a relatively high earner with dual income and a unique advantage over your peers to have free cash for saving, scroll forward a few years and that will have disappeared too. We are barreling towards a huge crunch recession for the middle classes, mortgage and debt crisis with money being choked out of the middle. It’s coming and the impact will be devastating.
@accesszero4803
8 ай бұрын
Hi i just started my trading 212 account and i will be honest, i have no idea what to do ,is it a case of just randomly picking investments? . I struggle to trust this kinda thing
@MultiLogina
8 ай бұрын
Well by law no one can recommend you anything so you need to do your own home work (research) but there is a lot of info in this channel for beginners
@BaileyMxX
8 ай бұрын
No... Definitely don't just pick random investments!! Go through some of Damos other videos. He discusses this extensively. If starting out not advice but maybe look at basic index funds that track global or individual stock markets. Plenty of information on here and the internet and I promise with a little bit of research you'll get your head around it, it's not as daunting as it first seems.
@richardsimpson2250
8 ай бұрын
I was lucky i was left a small inheritance in 197 and learned to invest and now in retirement i have a decent income from an ISA portfolio But my main asset is still my house
@rossmacintosh5652
8 ай бұрын
@accesszero4803 Great you made that step into investing! What you invest in doesn't need to be complicated. I'd suggest watching Damien's video titled "The Only Index Fund I'm Buying Now" as it shows the simplicity of investing in a single index fund and what benefits the approach will provide you. Set up automatic investments and you really can just focus on living your day-to-day life knowing the investment part is taking care of itself.
@BenryHoyson
8 ай бұрын
Great content Damien. I always wanted to get involved with the stock market but it always looked like it was an exclusive club of elites and men in shiny suits. Now, its just an app and some financial sense
@bvqbvq
8 ай бұрын
It is no accident that owning a business or investing in stocks is portrayed as risky. The wealthy do not want to share their wealth with anyone unnecessarily and the government certainly don't want a population of financially independent citizens over which they cannot exert any kind of control. Even after explaining about investing to highly educated people, I find that their financial attitudes are deep-rooted and virtually impossible to overturn. Far from taking on risk, they are the unwitting victims of the 'wealthy conspiracy' to prevent them from gaining the knowledge and more importantly the attitude that will allow them to have a more financially secure future.
@ant270
8 ай бұрын
Pukka video (think you missed that one) Your experience you recounted in the last few minutes, yes same here and the generational aspect of it. I didn't come from a wealthy family but, got to University and had a good career in IT, doing financially well and my daughter benefits from this and from my experience (now at Uni herself) . She'll be way ahead of her peers when she starts on the property ladder.
@ThomasBoyd-tx1yt
8 ай бұрын
$5 million super rich Thomas. How much got saved £20000. It not a bank. Never forget 2008 slump in England London Britain. Thanks. Did discuss with Carol Monaghan SNP MP yes she conceded defeat UK general election November 14 2024. Thanks. £2.1 million net worth super rich in Britain. O.2% percent poor in Britain Thomas.
@amcg809
8 ай бұрын
Graph is hard t o focus on, due to the moving paper background, fyi
@Alex-cw3rz
8 ай бұрын
I totally agree the focus on risk is very detrimental, imagine having the same disclaimer when getting a job. To be honest a job one could seem even more scary, if the business goes wrong for something that will be nothing to do with you. You'll be the first to be let go as you are the newest and if you go into debt that's personal debt, that will stay with you forever and d ying will not even stop it.
@desertpoj
8 ай бұрын
Some fundamental problems with your early comparison going back to the 19th century. Firstly, we are all wealthier, so the bottom decile in the U.K. are no longer destitute. It is probably true that most people in the bottom 50% were pretty destitute compared to modern living. Which brings me on to your chart itself. Modern western societies have done a great job at reducing wealth inequality. You then say that it gets worse after about 1985. Not much, but I’ll go with your statement. What happened in 1985. That’s when computers, the internet and, in 1985, Tim Berners-Lee’s World Wide Web kicked off. This is when it became easy for those who are smarter to do well. In 1895 a local cobbler could make a good living. In 1995 they would have to compete with every cobbler in the world. And if a woman in Paraguay could make better quality riding boots for half the price you will soon go bust. Furthermore, in 1895 Enrico Caruso, probably the greatest tenor opera singer of his generation, could sing at the Old Met in NY. With a maximum capacity of 3625 and even if he could charge a 2024 equivalent of $500 per head on average that’s still ‘only’ about $1.8 million before the Met and orchestra etc take their cuts. Taylor Swift can stream a new song and make that in a minute. Since 1985 we really have got robots so Elon Musk can produce billions of dollars worth of Teslas with as many production workers that would have only produced a fraction of that pre-1985; let alone 1895! Clever people can now produce, sell and earn more. Hopefully we can manage their genius so we all benefit. Next time you look at your iPhone asK where the genius British former Apple CDO paid his taxes whilst he lived in California. Be fair, but don’t scare the golden grease away. However, inherited property wealth. Don’t get me started!
@Steven-ze2zk
8 ай бұрын
Are you the guy who got assaulted by a stranger? I wanted to follow the story but the videos have been removed. You're looking well by the way. Have there been any updates in the case?
@EnglishroG
8 ай бұрын
Something many people don't seem to appreciate is that by investing in stock and bond portfolios, the risk of losing all your money is practically zero. Even after the worst year for bonds in 100 years, my bond portfolio had lost around 22%. Far from pleasant, but by no means near 100%, and sure enough, it's started to recover its value since then. If that were better explained to people (yes, some of your money is at risk here, but you won't lose it all no matter what) then I'm sure many people would be happier to give investing a go. The figure that Damien quoted in the video, that only 7% of UK adults have an non-cash ISA is astonishing. It should be much higher than that.
@fredm1
8 ай бұрын
Need your help Damien, I’m 52 and disabled with $600K net worth. Already have shares in Real estate (properties for rent) Stocks (dividends) Bonds (interest) etc But I'd still love to spread my investments across the fin- markets. Can you help me?
@abrin5508
8 ай бұрын
I'm top 10% - you realize you are lucky having got there from the bottom 20% but you also realize it isn't go out and buy a lambo kind of money - it's just very comfortable and you don't worry about getting laid off for a few years. BTW what I invested in UK stock market has had poor performance over 20 years, all my major investment gains have been made in the US stock market.
@Boobaa93
6 ай бұрын
Thanks to you Damo, I started my research in investing and I've just finally taken the plunge into Investing into a global ETF fund and will invest 20% of my wage monthly into this for the next 35 years. I'm 30 years old looking to build up my wealth to enjoy a retirement comfortably. Unbelievable these things aren't taught in schools as I've been worried about saving money for the last 5 years due to loss of purchasing power due to inflation. Even considered buying a property to rent out as a hedge against it. Doing this seems to be a stress free way of increasing wealth for me and my family. Thanks for your videos that always make me laugh and have taught me things I never would've known.
@jamessaddler1
8 ай бұрын
I have to say, the practical pie illustration really helped me understand your point 😂 Great video. 👍
@lifestoryguy
8 ай бұрын
If they actually taught kids in school that the economic system is like the game of Monopoly they'd understand what to do. Just as you can't play Monopoly by just throwing the dice and collecting your £200 when you pass go and never buy properties like Mayfair and Pall Mall, you can't expect to collect £200 from your employer every time for 40 years and expect that to work out for you. Can you assume that your health is going to be fine throughout your working life? Will your employer always be in business? With A.I. and other technology, can you guarantee your job will never be obsolete? With these questions in mind, it looks like investing in assets that generate an income like stocks and shares is a lot safer than just trying to collect a paycheck each month. The stocks and shares, rental properties and collectables you have like premium scotch whisky are your answers to these questions and offer you the opportunity to have F.U. money if your boss makes your life difficult.
@elephantandcastle838
8 ай бұрын
Just make inheritance tax 100% now . But since turkeys don't vote for Xmas, just don a virtual reality headset and pretend you're a retiring IT consultant from Surrey, but be careful what you wish for. Alternatively, make bigger pies from the aforementioned turkeys, apologies to vegans - this wont help
@HCR2_king
8 ай бұрын
We have been on a recession since the beginning of 2022, but big media and governments all over the world didn’t want to admit it. We need to be wise and use our brains. Knowledge is power and I’d like all the family to be powerful! Just purchased some PbatesLTD Thanks for keeping us informed during this times of doubt?
@grantross1360
8 ай бұрын
Said it before and I'll say it again - doing God's (or whoever you associate with) work, Damo. I work for a large investment bank, it is criminal that they don't teach finanical education to the masses and I think it is deliberate. You're a moden day Robin Hood, thanks for your content.
@brijendrasahye
6 ай бұрын
Another amazing video about investing.Why does UK not have a sovereign wealth fund similar to Norway ,Qatar or Singapore.In a very highly competitive world ,some other countries are doing incredibly well economically due to a lot of their wealth tied up in global stock markets.Oil rich Norway is an example.
@camouflage1996
8 ай бұрын
Damien can you please explain the rate of return shown on Vanguard ISAs? The rate of return in my ISA is shown as 21%, but the value of what my investments returned me since inception is closer to 9% of my contributions (no withdrawals). Not relevant to this video but would appreciate your insight, thanks
@annaaboltina7335
3 ай бұрын
Generally agree but when you say “why aren’t we explained…”, whose responsibility is that? It seems to me it’s personal responsibility for everyone to take ownership of their lives and learn about such things on their own initiative. I didn’t grow up around people who knew about investing, it’s something I learned myself. The other reality is that most people don’t want to save aggressively or make sacrifices now for a better future. Just look at the scepticism people have about the FIRE movement. Of course, it helps to grow up around people who know the rules of the game, but I feel that social mobility in the uk is pretty good and it is more empowering to teach people that they can turn their lives around and take responsibility rather than having a victim mindset.
@paultweedley2026
8 ай бұрын
Bottom line, spend less every month than you earn, don't have children until your over 30, SAVE! then be very patient and wait for either a financial crisis, reccesion, or trouble in general like a pandemic or a terrific company with temporary problems, then when the time is right buy shares in terrific companies , l would recommend don't put everything you have in one terrific company but preferably a small handful of them over time! Like Charlie Munger said "you don't get rich by investing, you get rich by waiting".
@stuartb3690
8 ай бұрын
There is something being shared in schools now called “core maths” it’s real world maths . Banking , investing, gambling, mortgages etc. it’s a fantastic idea and I wonder why it has taken so long to do .When tv advertising a few years ago had payday loans offering 1000% interest I used to wonder how these companies ever existed. More importantly why anyone would think it was an ok deal. Perhaps those top 5% rich just don’t want “normal “ people to be educated in knowing?
@eyesuckle
3 ай бұрын
There are tons of investment advice videos out there, but the social/psychological/ethical commentary you fold into yours makes this channel unique--at least from what I've seen. And the little bits about your own life and feelings in there really do give your videos some genuine emotional impact--at least for me. Bravo.
@Marwell0709
4 ай бұрын
They way I see it the gap between rich and poor is being created and widen on purpose by the same rich and powerful people. If an average working class guy will be taught on how to accumulate wealth from day one, chances are he'll end up being more than a workforce. If a man acquires enough wealth to be financially independent, - he becomes less controlled and self sufficient to the point he stops working. Who's gonna'do the dirty hard jobs for the rich then? The system we live in requires most people to be poor enough so all their time and energy would be spent on labour and, simply, survival. Rich folk who got most wealth and power play dirty games on keeping folk poor and in control. And I must say they succeeded in doing so. The way things going now in a decade or two time we'll be living a nasty dystopia which will be a pure nightmare for the poor class. Medium class will be non-existent.
@Chipchap-xu6pk
8 ай бұрын
Five individuals have as much wealth as 70% of the rest of the UK combined? This needs to be in the newspapers, on advertising hoardings and spray painted on conservative MPs' cars. This is shameful. Those with jobs are using food banks. Nurses are using food banks.
@DJ-uk5mm
8 ай бұрын
I invest in the National Lottery it must be a good investment as there is no risk warning. I did try and buy some bitcoin in December 2022. It was about $15,000 at the time but my bank wouldn’t let me put any money in they said it was too risky, and they would not support a transfer into bitcoin, Allow me to buy lottery tickets, so I put my £15,000 into lottery tickets. I lost it all, but at least I didn’t invest in bitcoin at $15,000. I wonder what bitcoin is today ?
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