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On the contrary PaulB - investors can get a reasonable return and the current extreme volatility will not last forever. As always good investment stems from proper asset allocation associated with appropriate timescales and good funds. I have portfolios providing a net income of 4% to 5.5% pa depending on risk and objectives plus the potential for capital growth. These investment conditions can work in your favour if you know what you are doing.
People need to be careful though - there are sharks out there and some very dodgy schemes. Do not invest without suitable qualified advice.
Howard - then people should seek to cut back on their spending if their income does not match their spending. But, at least those you refer to have savings, under the last government the savings ratio fell through the floor, so far too many people relied too much on borrowing to fund their spending - much like Brown's government! That is a huge source of today's problems, its not just government debt that is the problem holding back the economy.
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