2 answers

As a student interested not in just getting rich quick, how can one really learn how to invest their money wisely?

Asked Fairfax, Virginia

Too often we hear that education systems don't prepare us for real life, but I think they are trying to improve this. But what are some great resources to learn about money management and wealth as a student?

#investing #real-estate-investing #money-management #wealth-management

2 answers

Sean’s Answer

Updated

Investing is not about “getting rich quick.” Investing about sticking with a disciplined savings plan, investing in diversified stocks and letting run its course. Any financial advisor who sells you on the next get rich quick scheme should not be trusted.


As a a fun experiment look at the S&P500 in 1982. Assume you invested $1,000 and calculate how much money you’d have today. That $1,000 will grow, but it doesn’t turn into $5mm in 36 years. Now calculate how much you’d have if you sunk $5,000 a year into the S&P500 for that same 36 years. Now you’re rich.


The real answer, though probably not what you want to hear, is get a degree in a something that will enhance your earning potential doing something you enjoy, learn to live on less than you make, stay out of debt (only two things worth financing, a car and a house) save and invest over your working career. You’ll be able to retire early and be comfortable for the rest of your life and not relying on Social Security as your only income.

Laron’s Answer

Updated Columbus, Ohio
Some good resources, are Dave Ramsey's book The Total Money Makeover. There are some investment apps, to help you get started with investing, like Stash, Acorns, Stockpile, and Robinhood. Another book is Robert Kiyosaki's book Rich Dad, Poor Dad, and David Bach's The Automatic Millionaire. There's also a website, www.betterment.com Also, check out Jeff Rose on Youtube, he gives great advice, on how to get started with investing.