Why you MUST question everything, and assume that all financial experts have limited expertise.

As an investor, I subscribe to a number of newsletters and data sources.

I find it fascinating that one subscription that I have, has very a negative bias and produces a newsletter every 2 weeks or so with a mound of data to back their negative claims.

On the flip side, another subscription of mine has a very positive bias, and it produces a daily update with data and narratives to back their positive claims.

Two groups of analysts, looking at the same market, with access to the same data and having polar opposite opinions. Interesting, don't you think?

Today, I received a newsletter from another source that links to various news articles and opinins regarding the economy and markets. In this one newsletter it had several articles that were as follows:

• Bank of America strategists think there is reason to bet on equities as the second quarter gets underway.

• Fundstrat's Tom Lee, one of Wall Street's famed perma-bulls, stated that the market has actually already told us a new bull market has started, and the possibility of a downturn has already come and gone.

• JP Morgan's CEO Jamie Dimon is anticipating a storm ahead for the US economy.

• Market legend Rob Arnott said there's now an 80% chance of a recession amid a credit crunch.

All four of the above statements were in the same one newsletter!

How can so-called teams of "experts" and "analysts" in the same industry, having access to the same data and information, have such opposing predictions and views?

The answer is simple.... they have no clue.

If the "experts"predictions are all over the place, then what is the point of following their advice? So what do you do???

The answer is to become financially educated, and question everything.

You are just as capable as the so-called "experts". You can look at the data, the information, the trends, etc and make up your own mind as to where the future may go.

This is what I do.

Yes, I listen to the "experts", and try to understand their point of view.

I don't have to agree with all they say, and I pick and choose what I think is real and what I believe is not.

I take all the information onboard, and then make up my own mind and set my own path.

In doing so, just in this last 12 months of falling equity markets, my portfolio has actually gained value, just by adjusting my holdings and not doing any panic selling, while in the meantime just collecting good dividends from my quality holdings.

What I am saying here is that YOU are just as capable of making good investment decisions as many of the "experts". You just need to be financially literate, do your own due diligence, decide what you want to invest in, and then just do it.

Whether it be property, equities or business investments, do your homework and make up your own mind. Yes, listen to others, BUT take what is said lighty, scrutinise it, and decide if their opinion has any merits.

Just remember, the four differing opinions form experts above that were all released ON THE SAME DAY!

Remember, you have just as good a chance of being correct in your forecasts and investment choices as most experts. I personally prefer to make my own investment decisions based on my research.

If my choices are good, then I become a bit wealthier and a bit smarter.

If my choices are poor, then I don't become a bit wealthier, but I do become a lot smarter!

Mistakes will be made, but from them, lessons will be learned, making me a better investor in the future. No matter the outcome, they are my choices and as such, I either win or I learn - either way, I benefit in some way!