A question I’m often asked by readers is why I keep such a high amount of cash savings on the side. Isn’t it better to deploy all my available cash and enjoy the market ride up while also pushing my dividend income higher? While my answer generally would be yes, the situation isn’t always so simple. As someone looking to reach financial freedom should you hold on to large pockets of idle cash?
A couple of days ago I found myself in a pharmacy for the first time in a while. This pharmacy, like every other drugstore, was one of those really bright and sparkling white stores where someone with a big-faced grin showing even whiter teeth sells you all sorts of medication. Nobody really likes going there, yet we’re always eager to get our hands on what they’re selling. That is when it hit me: pharmaceuticals are awesome.
Last week I was contacted by a spokesperson of my personal bank because she wanted to explain a bunch of new services they had on offer. Even though I usually am weary when someone seeks me out to promote a service, I reluctantly agreed to stop by. Who knows what they had in store that could accelerate my journey towards financial independence?
Last week reader Mustachian Post sparked an interesting discussion on exchange rate fluctuations in the comments of an article on the different foreign withholding tax regimes in a number of European and North-American countries. Because exchange rates, together with foreign withholding taxes, form one of the bigger head-scratchers to international investors, I wanted to devote a post to the topic. Do we need to hedge against exchange rate fluctuations or not?
Living in a small country like Belgium definitely has its perks, mostly because you’re well-known for things that don’t matter in the grand scheme of things, such as beer, chocolate and waffles. The open economy of the European Union, of which Belgium is a founding member, furthermore succeeded in removing many of the downsides of small countries by allowing unprecented movement of people, goods and capital. As a result, investors of small European member states now get to enjoy the economic benefits of the big players like France, Germany and the UK.