🙅♂️ Debunking Common Investment Beliefs
👋 Good afternoon finance enthusiasts and fellow investors!
I hope you had a good week and are doing well.
Today, I want to debunk a few limiting investment beliefs. Because some of you might have these beliefs or a friend of yours might have them. But these beliefs are not true at all and only limit you on your way to financial freedom. So buckle up and debunk them!
The information provided in this newsletter is for educational and informational purposes only and should not be considered as financial advice.
1. "I Will Start Investing Later"
That's probably what I hear most often from people. But every day you wait to invest, it gets harder to start! The older you get, the more responsibilities come your way, and there will always be reasons why you think now is not the right time.
When it comes to investing, time is money. Start small, but start NOW.
Here is the story of how I started, I am sure it will help you.
2. "Investing Is Too Risky"
I'd argue that NOT investing is the real risk. The fear of the unknown can make investing seem like a high-stakes gamble, but remember, lack of understanding is often mistaken for risk.
3. "Investing Is Only for the Rich"
That's just not true anymore. Yes, back in the day it was harder for individuals to get started, but today you can get started with just a few bucks. Remember, investing ANY amount is always better than investing NOTHING.
4. "I Will Lose All My Money"
When I hear this, two things come to mind: Either you want to invest like you're in a casino and hope you get lucky for once (you invest in shitcoins and hope you picked the next Dogecoin) or you just don't know any better.
When it comes to investing, you should diversify your portfolio and put the majority of your portfolio into safe, long-term investments!
5. "Investing Is Too Complicated"
You don't need a PhD in investing. In this day and age, all the information you need is already available for free. If you want to take a shortcut, you can learn faster with paid courses for a few bucks. The right resources, a little time and voila - you're good to go!
Here a article you might find interesting:
6. "I Don't Have Enough Time"
Investing does not take much time. You need a little to get started, but once you put in a few hours a month are enough to put you on the right track. With an ETF savings plan, for example, you can invest completely automatically every month, and the same is true for cryptocurrencies.
7. "I'm Too Young/Old to Invest"
The market doesn’t care how old you are. It's never too early or too late to start making your money work for you.
8. "Investing is Like Gambling"
Only if you approach it with the wrong mindset. Investing is a strategic game, not a spin of the roulette wheel. Stop thinking short term and start thinking long term!
Take action
What to do now?
Get rid of these beliefs if you have them!
Send this to a friend who has these beliefs.
As always: Start small, but start!
👉 Let me know where you are on your investment journey or if you have any questions (reply to this email)!
I’m at the
conference in Lisbon right now, so maybe I'll find some ideas for future newsletters or people to interview for a future podcast. If you are in Lisbon, feel free to get in touch (just reply to this email).That’s it for this week! Enjoy your weekend and happy investing!
Cheers
Stefan