This archive report was first published on 7 May 2020.
George Mangs, co-director at Market Cap Trainers, has helped over 300 individuals open CDS Accounts and start investing in the stock market and money markets in less than two months. He attributes this success to regular training forums on personal finance and investment held in Nairobi over weekends.
According to Mangs, one of his biggest money mistakes was investing in penny stocks, which ultimately led to significant losses due to the introduction of Capital Gains Tax. He also shares a cautionary tale of investing in a startup that failed due to the founders' lack of commitment.
Mangs emphasizes the importance of saving at least 40% of one's income and adopting a long-term approach to wealth creation. He cites the influence of Warren Buffett, Peter Lynch, Charlie Munger, and Chris Kirubi on his investment strategies.
When asked about the secret to wealth creation, Mangs stresses the need to start saving and investing early, be consistent, and let time do its compounding magic. He warns against the dangers of being an impatient generation, chasing quick riches, and losing out on the compounding effect of time.
Looking back, Mangs wishes he had educated himself on the basics of investment, including risk and reward trade-offs, and asset allocation. He concludes by urging readers to start learning about investing, saving, and wealth creation to develop the discipline to spend less than they make and invest in a diversified portfolio.
