Jayson Lowe critiques framing investing vs. 'becoming your own banker' as mutually exclusive and advises doing both. He defines becoming your own banker as a method of managing how you finance needs (including investments), not a strategy about yield. Controlling the banking function for an investment yields a significant advantage over participating without that control.
One of the questions that I often receive is, should I invest money in the stock market or should I become my own banker? And my response is always the same, do both. The process of becoming your own banker is not about addressing the yield of an investment or about investing of any kind. The process of becoming your own banker is all about how you go about financing the things that you need in life, which can certainly include investment. So remember, everything that you do financially is measured against what everyone else does financially. And so if you are controlling the banking function as it relates to that investment opportunity, you'll come out way farther ahead than someone who participates in the same investment opportunity, but is not controlling the banking function as it relates to that opportunity. So it's not an either or as well as.
