The problem with most investors is they pay attention to their investments at the wrong times. Often only when there is bad news.
That’s not good. Your investments will go down, it’s impossible to always win no matter how much we may want it. Remember to focus on the long term and remember year over year your investments will grow.
They may not grow this year, but they will if you combine the return over 10 years. Some years your investments could yield 10 to 20 percent and some years only 4 to 5 or even lose 4 to 5.
The point is, if you take those investments and let them run their course like history shows they will average out a pretty decent return.
The best thing about starting a long term investment plan early is the fact you have time on your side so you don’t need to accumulate a lot of money quick. You need to deposit money in that account weekly or monthly to compound your results.
It only takes $100 a month to get started. You can at least get 1 share of an ETF a month with that amount, easily.
Would you rather blow money at one of your favorite retail stores on something you won’t even remember you bought 3 weeks from now? Or would you rather buy just 1 share of an ETF a month for something that will pay you back and then some 20 to 30 years from now.
Remember if you decide you don’t want to invest you’re still making an investment decision. Whether you invest or not it will not affect me, it will only affect you.
Just start with $100 a month or whatever you can get in there for now… it doesn’t matter, just get started yesterday.
I started in 2008, when I was 20 years old and the market was crashing; people called me crazy but I kept depositing funds every 2 weeks. To date, over the last 8 years I’ve only contributed 30k of my money, but the account is now valued at over 50k.
To me that is way better than buying useless products that can’t help me get ahead.
Prices could drop because of a recession or because of a multitude of other reasons… when they do, focus on a long term fund or investment that you know will be around 30 years from now. When those prices drop, it means it’s on sale and go for it– buy all you can. The price will rise again and the cheaper you can get shares the more money you will make in the long run.
Remember stocks don’t go bad unless its a crappy company. If you don’t have the time or interest to really dig into companies than I suggest looking into ETF’s or exchange traded funds.
ETF’s are essentially a basket of stocks all bundled up to where you buy one share of that fund to get all of the stocks they hold. Stay with the popular ones.
If you just want to ride the market wave buy the SPY. It tracks S&P500 which essentially is the stock market to some.
If you want to get a little more in depth than that look into sector ETF’s, again stay with the more popular ones like the SPDR. I will soon have a course coming up on the different ETF’s and how you can invest in them in order to be successful in the stock market. Subscribe to my list to keep updated.
If you’re interested in the idea of ETF’s and want to learn more head over to the Sector SPDR website.
In my upcoming online course I go in depth into each one of these ETF’s and explain how they work. If you would like to know 5 things you can do to avoid losing money in the stock market, check out my FREE guide.
If you have any questions, please comment below.