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I often write on Quora.com, where I am the most viewed writer on financial matters, with over 434.9 million views in recent years.

In the answers below I focused on the following topics and issues:

If you want me to answer any questions on Quora or YouTube, or you are looking to invest, don’t hesitate to contact me, email (advice@adamfayed.com) or use the WhatsApp function below.

Some of the links and videos referred to might only be available on the original answers. 

Source for all answers – Adam Fayed’s Quora page.

How long is the bearish market that started in the beginning of 2022 going to last?

Despite the recent rises and “hopes” that the bottom was found, you should want it to last as long as possible.

That is the first thing that many people don’t understand. Plenty of people know by now that you can’t find time stock markets.

It is just too difficult to predict with consistency when falls, or gains, will happen.

But we can predict that markets will go through periods like this. It is the nature of the beast, as per the quote below:

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Yet few people consider that a bear market is good if you are at least five years away from retirement.

That is assuming you have fresh money to put in. Ultimately, most of us have a salary or a business income.

That means that we have a “dollar cost average”, which is just a fancy way of saying to invest every month or at least periodically, whether we like it or not.

We can’t go to our boss or customers and ask for 30 years’ advance payment!

The below example shows how the strategy works well in a bear market of falling prices:

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Therefore, if markets stay lower for longer, you buy more units for your money.

Just as somebody who bought during the Great Depression, or housing route in 2008, got rich if they held for a while, anybody who is patient and keeps buying during a downturn will benefit enormously.

Consider these facts:

Based on all of this, people should:

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Nobody knows when this bear market will end. The average lasts about ten months, but some last much longer.

All I know is that many people will panic or lose faith. Only those with the emotional staying power will make a lot of money and see this as an opportunity.

Can a family of four in the UK live on a 60,000 pound salary?

In most parts of the UK, outside of London, you can comfortably.

Average salaries are below that, even though most family incomes are higher than individual ones.

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So, if you are relatively frugal, you will find 60k easy to live on. You will be able to save and invest on the side.

Yet to live on 60k, you need to:

So, you can’t expect loads of space and comforts in some parts of the country for 60k before taxes.

That is because 42k after taxes doesn’t buy you that much housing-wise in some parts of the country once you pay for other costs.

But most families live on less than that, and plenty of Londoners do, despite the extra costs.

How do we fix the UK cost of living crisis in 2022?

I doubt it can be fixed in 2022. It is already baked in. Many of the price rises in global markets are outside the control of the UK anyway.

All the UK can do is hope to rein in inflation in the next year or two.

The best options to do that are:

1. Avoid a currency crisis, which I spoke about in this video below. The new leader shouldn’t go on a spending spree to do that. With interest rates rising, issues with Brexit and inflation, the market has to be confident that the UK Government and Bank of England will get on top of the issue.

2. Increase interest rates even if that causes a recession. A recession, naturally, will decrease demand, despite the pain.

3. Don’t give into unrealistic pay demands. Everybody wants a real terms pay rise. It is only right that individuals will try to look after their own best interests. Yet if people in the public, and private, sectors all get above-inflation pay rises, more people will just be willing to pay the new higher prices. Then it is back to the 1970s. I think this issue is unlikely though.

4. Help with international efforts to decrease the prices of wheat and grain. Deals similar to the grain deal that was struck between Russia and Ukraine last week will help.

5. Don’t lockdown again. Lockdowns disrupted the supply chains, which increased inflation.

6. Avoid militant trade unions grinding the country to a halt, which is connected to issue three.

Above all else, long-term, the focus needs to be on more productivity growth. People can’t consistently earn above inflation, if productivity isn’t increasing at a decent rate.

Pained by financial indecision? Want to invest with Adam?

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Adam is an internationally recognised author on financial matters, with over 735.2 million answer views on Quora.com, a widely sold book on Amazon, and a contributor on Forbes.

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