We will soon be entering the last week of the Dubai Shopping Festival. There are great opportunities for those with an eye for a bargain. Many people I know delay upgrading their computer, TV or phone until DSF and they save money or receive additional benefits for their patience.
When it comes to investments the timing of the DSF type sale is not always obvious. But the worst time to sell your investment is usually when everyone else is. This is when prices are depressed. Patience is usually rewarded in investments as well.
Another area where patience is rewarded is compounding. The simple addition of using dividends to buy more shares in the same company or adding interest to the principal capital of a deposit account makes a huge difference to your returns. This effect explains why starting a retirement plan early in your working life is a sensible idea, even if it is only for a small monthly amount.
So you are at the DSF and you have seen the latest 100” curved screen 4D smart TV. You want it badly BUT do you really need it? This is the final part of the 3 tips for financial success: only buy what you need nothing more. Dubai is packed full of nice things, especially in DSF. But ask yourself how much the TV will be worth in 5 years and will it help you buy food and pay the bills in your retirement?
Please let me know if you have any questions or comments on the above.