Big crash - Small crash

Prices goes down, everyone panic, what we can do? I will not talk about the ones keep printing dollars like there is no tomorrow, or the situation in China. I will just suggest one very wise point of view.
 “If you believe the stock market may not come back this time, then you have much more to worry about than your investment portfolio.” –Rick Ferri
That is so true. And we must endure. The portfolio value will go up and down. I doesn't matter for us. Because we are looking at the end of the road. Not at next month, or even at next year. We will endure. And we will prevail. (Knight rules, isn't it?).
Just one small note, According to Charles Schwab, over the past 50 years, the average length of a bear market has been a little over one year, and the average time for the market to recover and reach its previous highs has been less than four years.

What is the secret of becoming financially independent?

I always asked myself, why some people get whatever they want, even if they do not deserved (in my eyes), when other never had a chance, even if they probably deserved (again, in my eyes). There is one thing above all that make the difference, and the one that said "where there is a will, is a way!" was very close to the truth. "One ring to rule them all". (i know, i know, i am a nerd!)
One word.
Commitment.
Did you get it? I will say it again. Now think about it. You will find that i am right
COMMITMENT.
That's it. No secret behind the secret. You need only to do it, again and again, despite problems, despite being bored or despite the lack of results. Keep going. And never stop. Never.
One day you will be there. You will. I am sure.

Commitment - by Abe

Added 10.9.2014: And looking around i found this wonderful article about commitment. Click here to read it. 

Best financial advice ever

"The secret is there are no secrets." John Bogle say it and it is no more true than ever. In the Internet era we got access to every bit of information. We have every data starting from the "Richest man in Babylon" book to the last struggle of George in his way to achieve financial independence. We got everything and all we need is the desire to succeed. If you do not know what to do, just take a look at my blogroll, choose one of them and read it. That's all you need. Others already did it before you. They say that a clever men learn from his mistakes, a wise one learn from everyone's mistakes. Be wise. This is my advice for today.
Good luck!

1 September - monthly statistics

Just few of my relevant financial statistics:

Money from interests and dividends this year (up to 1.08.2015) - 320 pounds (+48)
Month average (first 8th months of my early retirement project) - 40 pounds (+6)
Yearly ROI percentage prediction - 10.66% (-3.58)
Retirement fund percentage achieved : 5.20% (still the same 5.20 after all decreased and i added funds)
Security fund investment: 48.36% (-3.38)
Risk fund investment: 51.64% (+3.38)
Total investment: 5762.09 pounds (+50)
Total debt: 780 pounds
Net worth: 4982.09 pounds (+50)

Income:
Wages  - 1646
Investments - 48
TOTAL: 1694

Expenses: 3567

So, on the paper is somehow disastrous, but my nephew was born, I started a new job and i was surviving on my saved cash until i was paid at the end of this month, i just had a holiday in Malta and Norway for me and Mrs and my cash reserves is literally ZERO. (I still consider it a success as i still got 11 pounds in bank after i paid everything - bills, rent, flight, food etc). Time to rebuild the cash now. A wedding at the middle of November and not much until then.

I am open to answer to any common sense question about mine or yours retirement project.

Just a few toughts

1. Market is down, All shares are falling. Do not despair. Take 70% of your cash stock and buy. Now it is the time. Look for shares that paid good dividends in the last 10-20 years and increased the dividend amount regularly. For example one of my favorites is Pearson (click on PSON.L for more info)

2. Take a look here and have a good laugh. The link is http://www.nakedtruthbank.com/ . True and funny, if it is not about you. If it is about you, then you need to do something, right? Positive cash flow ring a bell?

Think big... And just do it!

One friend who is very good in practicing the art of abundance teached me this. Look for the highest note of the money you use in your country and always have 2 of this notes in your wallet. Whatever happen. If you spend them, put another 2 back. Usually you will be reluctant to spend on small items just because you will get a lot of change. But, if some opportunity appear magically in front of you, you will have a decent amount of money to seize it.

My idea on his idea. On your way to financial independence you need to think big. Do not invest £20 every day of the month. The fees will just eat your profit, or even if it is a free fee thing, the time lost will not justify it. Instead of this, put all the money in the box, for example, and at the end of the month add it to your cash account. Invest in big amounts. £1000, £5000, something that it is significant for you. Sometimes if you invest more than 1000 you get a good cashback. 5% or more. Sound much better than that 3% fee, right?  This could mean 100k more money for you in 10 years time.

And added bonus, it will make you feel good, efficient, serious about the bussiness. Emotionally and physically better, Dopamine and oxytocin will be released. We could talk about the quality of life that will increase too. Just by doing something aparently irrelevant. Try it and tell me how this worked for you. Because it worked for me. Good luck.

Hint of the day - One myth about eating healthy and organic - it is not so expensive as you think.

Myth: It’s too expensive to eat healthily

Why it’s rubbish: Ready meals and frozen food will cost more than if you bought the ingredients and made it yourself. Likewise, a banana or an apple is a cheaper snack than a chocolate bar or packet of crisps. Also, homemade meals can easily be spread over more than one meal, saving you even more money in the process!
Than why to go for the obvious unhealthy choice, especially if some long term research showed that over time we pay more in health bills than we would pay for healthy organic food ?

An international team of experts led by Newcastle University has shown that organic crops are up to 60% higher in a number of key antioxidants than conventionally-grown ones.
Analyzing 343 studies into the compositional differences between organic and conventional crops, the team found that a switch to eating organic fruit, vegetable and cereals – and food made from them – would provide additional antioxidants equivalent to eating between 1-2 extra portions of fruit and vegetables a day. The study, published today in the prestigious British Journal of Nutrition, also shows significantly lower levels of toxic heavy metals in organic crops.  Cadmium, which is one of only three metal contaminants along with lead and mercury for which the European Commission has set maximum permitted contamination levels in food, was found to be almost 50% lower in organic crops than conventionally-grown ones. Newcastle University’s Professor Carlo Leifert, who led the study, says: “This study demonstrates that choosing food produced according to organic standards can lead to increased intake of nutritionally desirable antioxidants and reduced exposure to toxic heavy metals. You can find more about this here.

Another approach can be found here, and the results were that eating organic cutting meat in the same time will cost similar to eating normal or GM food.