Viewpoint: Thoughts on Personal Finance

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After reading about the collapse in the highly ambiguous industry of digital currency, I thought I would share my two cents on personal finance that comes from the middle-class lay-person’s point of view:

Rule for Risky or Experimental investment:

Do not invest more than what you can afford to lose.

This means after paying for monthly expenses, paying off your credit card, loan repayments, mortgage etc., after setting aside savings for retirement and for a rainy day, whatever remains is the money for risky ventures.

If that amount is a thousand dollars, then that is the amount you can afford to lose without affecting your present or future financial security. If what remains is zero dollars then that is the amount available for risky ventures.

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