So, You Want To Talk Investing?
When you subscribe to Fast Start, I ask each of you: What do you want to learn about?
Overwhelmingly the response has been around investing:
- How and when to start?
- How to decide how much to invest?
- What to invest in?
- How to minimize taxes when investing?
To most, #3 seems like the obvious choice to focus on: How do I find the next Apple, NVIDIA, Tesla, Google, etc.? How do I invest $100 and get back $1,000,000?
Most would be missing out.
#3 is important (it’s on the list for a reason)
But if we mess up 1, 2, and 4, any upside that 3 could provide us gets drastically reduced.
Over the coming weeks, I will do various deep dives on each of these areas (as much as is permitted by law since I am not a licensed investment professional and this is not and will not be investment advice).
Thankfully, within the confines of the law, there is much to be taught and this personal finance nerd intends to get to teachin’ it.
So for this week, let’s start broad: Why invest at all?
Simply put, investing is taking the money you worked to earn, and putting it to work.
Income from your job is a great thing. It pays your bills, keeps a roof over your head, and may even send you on a vacation every once in a while.
But did you know that you can take that income and grow it into more money?
Though it occasionally gets a bad rep, capitalism's beauty is that capital (a fancy word for money, cash, benjamins) can be invested into businesses. When those businesses do well, we can get that investment back with a nice return!
Now, investing can be a full time job for professionals.
But, for the average person, investing is mostly passive.
That means it shouldn't take up too much of your time.
When done right it is also risk-mitigated: This means although you can lose money, over the long-term your money is positioned to hopefully trend upwards and grow.
Most importantly, when done right it gives you confidence that you are building a nest egg for the future. Whether it’s a down payment on a home, buying a car, funds to help your family, retirement savings, the list goes on.
One of the most powerful forces on your side when investing is time. Getting started early can be the difference of millions of dollars over the span of your life.
We’ll talk about why that is and what to do about it, next week…
Have specific investment questions or want to learn more now?
βReply to this email and ask!
