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Monday, February 24, 2020

Investing For Beginners | Advice On How To Get Started Make Money Online #Best Education Page #Online Earning

Investing For Beginners | Advice On How To Get Started Make Money Online


another exciting video in this video
we're gonna be talking about how to
start investing for a complete beginner
and we're gonna be focusing on things
that you can start doing right now even
if you have very little money to start
and I'm gonna reveal my number one
strategy for investing that has made me
hundreds of thousands of dollars with
very little money to start so stay tuned
[Music]
alright guys so we're gonna be talking
about Warren Buffett aka the stock
market King we're gonna talk about the
strategies that he actually advises and
he recommends when it comes to actually
getting started investing for beginners
and we're gonna be talking about some of
the fatal mistakes to avoid because a
single fatal mistake can destroy you and
what people don't realize is if you have
$100 to start and you lose 50 percent
right now you have $50 and then if you
make 50 percent back right you don't go
back to $100 right 50 percent of 50 is
25 so you only go back to 75 so losing
money is the number one worst way to
actually you know be in the market right
and Warren Buffett says don't lose money
is rule number one of investing and rule
number two is refer to rule number one
so we're going to be talking about how
to actually diversify and mitigate your
own risk because losing money is
actually much more important to avoid
than gaining money in the long term with
investing and I'm going to be revealing
the number one strategy that I
personally use and recommend to all of
my friends and family when it comes to
investing it's called the dca if' method
we're going to be talking about that in
detail later on and I'm gonna reveal
exactly how anybody anywhere can get
started with very very little money to
start investing using this strategy so I
started investing actually when I was 14
years old and not in the traditional way
that you're probably thinking you know
like stocks and bonds and things like
that
but investing you know by definition
means doing things with your time or
money that you hope and assume are going
to appreciate in value because investing
is as much a mindset as it is you know
investing your actual money into the
stock market if you have the mentality
that you need to invest in yourself and
invest in your own learning you're gonna
come out way ahead at people who only
think about investing their actual money
into the stock market and so if you're
only watching this video because you
think that I'm gonna reveal like the
next three hottest stocks that are gonna
go from a penny to a thousand dollars
right that's not the point of this video
the point of this video is to teach you
actual fundamentals that over the long
term are gonna make you a significant
amount of money if you follow these
fundamental ideas right because one of
the most famous books for investing is
actually by Ben Graham which is one of
Warren Buffett mentors and it's called
the intelligent investor so the
intelligent investor is probably one of
if not the most famous book on investing
and it's a very long book and it's a
very dry read and so I don't personally
recommend that
people who are just getting started with
investing go straight to the intelligent
investor because there's so much in that
book there's a lot of good information
but people who are just getting started
investing like if you go straight to the
intelligent investor I promise you that
most people are gonna get bored of that
book my advice would be to actually read
a summary of the book write a really
well-done summary is gonna give you most
of the ideas of the book without having
to read you know hundreds or thousands
of pages where most people are gonna
give up because the main ideas of the
book is that people that don't remember
the past are condemned to repeat it
right the stock market is very cyclical
a lot of the same things happen but when
you actually start to lose money on a
stock and it goes down people get
emotional they make emotional decisions
and when you make emotional decisions in
the stock market or investments most of
the time it's not going to be a good
thing and you're gonna lose money Ben
Graham talks about removing emotion from
your stock choices right he talks about
establishing a strict system and
sticking to it so if you say I'm gonna
buy Amazon at $1,000 a share and I'm not
gonna sell it until it gets to 1,200 and
I'm not gonna sell it until it goes to
if it drops if it goes to 800 right
writing it down and sticking to that
takes the emotion out right because then
if you get emotional if it drops down
$50 and you sell all of it and then the
next week it goes up $500 right you're
gonna be sad but that happens so often
it happens to me it happens to everyone
so if you remove the emotion from the
beginning
you're gonna be in such better shape
than most people are when they start
investing and they allow human nature to
actually dictate their decisions more so
than sound logic and you know what your
actual plan is so once you read that
summary my favorite book right and all
of the investing world is actually a
book by Peter Lynch and the book is
called how to one-up Wall Street and
what he talks about is how to use your
own experiences in your own life and
your own kind of situation to really
have a one-up right to one-up Wall
Street let me give you an example like
to kind of illustrate that so a few
years ago when I was selling on Amazon
FBA full time when I was you know using
AWS Amazon's cloud systems to run my
software and my iOS apps and things like
that
I was just dumping money into Amazon I
seriously knew how much money that they
were making from FBA how much money that
they were making from AWS I used prime
every day all of my friends had prime
shipping I just I realized that Amazon
had their claws everywhere and they had
these huge competitive barriers
enter that nobody's ever gonna touch
right for e-commerce its Amazon first
and everyone else a very very distant
second and so they had all of these like
real massive advantages and I knew how
much of money that they were making from
all of it because I used all of those
things right and so I went all-in I used
my own experiences and I went all-in on
Amazon I knew all of my friends were on
Amazon I knew all my friends were using
Amazon Prime not only for shipping but
also to watch videos like Netflix right
so I went all-in on Amazon stock and I
just kept buying more and more and more
and the stock kept going higher and
higher and higher and the reason that I
was so confident to do that is because I
couldn't literally imagine my life
without Amazon that's the number one
strategy that I use when it comes to
investing I never invest in a company
that I wouldn't invest for in the long
term and I never ever invest in a
company that I can't imagine my life
without and you know I always say this
when we talk about investing in things
like that people roll their eyes and
they say Kevin come on just get to the
point tell us what stocks and how to
actually invest our money but the thing
is guys I've invested in real estate
I've invested in crypto I've invested in
bonds I've invested in stocks I've
invested in all types of things right
pretty much every investment that you
can make I've tried and I've made money
on some of it and I've lost money on
others but the truth is nothing has ever
come close to the money and the time
that I've invested into myself into
learning into actually building my
youtube channel into building my
business into building an Amazon
business into you know creating these
communities of people nothing has ever
come close to the ROI to the return on
investment of investing into myself and
into my own learning so my number one
recommendation to you before we get into
my strategy that I like to use with the
stock market is invest in yourself right
invest in learning how to do a YouTube
channel invest in creating a Facebook
group invest in a podcast invest in
learning Amazon or SM ma or how to
create a digital course or things like
that you learn and you can literally
apply that knowledge for the rest of
your life so investing in yourself is by
far no question the most profitable way
of investing but for the people who are
rolling their eyes and they're saying
Kevin just tell us actually how to
invest our money let's get to that in
just a second because the truth is
investing and doing so profitably
normally is a full-time job right having
to do research on these companies and
their management and you know what their
new strategies are and all the stuff it
takes a ton of time and so the best
strategy for most people is called
dollar cost
and I like to add in my own little twist
of that which we're gonna talk about in
just one second but before we do I want
to quickly recap on what we discussed
right because we discussed kind of a lot
of things and I want to make sure that
everybody understands them
chronologically so first and foremost it
is important to invest in yourself but
strictly concerning the stock market
right it's very very important to not
allow yourself to become emotional right
create a plan and stick to it and you're
gonna be in such better shape than
people you know with the stock drops $10
they sell their whole portfolio and then
the next day the stock
you know pops $500 and they lost all
that potential gain just because they
got emotional another important strategy
that we do need to touch on is creating
what's called an emergency fund right
never invest all of your money into the
stock market or any investment you want
to save you know at least 10% of your
take-home pay in an emergency fund in
case anything crazy happens like you
break your leg or you're unable to work
or you know something happens where you
you all of a sudden need a lot of money
and people will invest all their money
into stocks or bonds or things that they
can't get to you know quickly and then
you know they're kind of out of luck if
they have an emergency situation so what
I would always kind of advise people to
do is create an emergency fund with 10%
or more of your take on pay just in case
you ever need it okay so what actually
is the dollar cost averaging strategy
and what is the if' of the dca IFM well
it actually stands for index funds right
so my strategy that I would always
recommend for new people is dollar-cost
averaging with index funds and I know
that sounds complicated but let's
actually break down exactly what it is
and then how anybody anywhere even with
very little money can get started doing
this investing in the best way so we're
gonna talk about that in two seconds but
really quickly guys I wanted to give a
shout out to our daily comment winner we
want to give a shout out and show love
to all of our you know amazing
commenters every single day we pick a
new person and we give them a big shout
out in front of you know hundreds of
thousands of people on these videos so
shout out to you I mean if you want to
be our next daily comment winner all you
have to do is one simple thing leave a
comment down below letting me know what
your best ever investment was right tell
me what your best investment was maybe
you bought Amazon ten years ago and
you've made you know hundred thousand
dollars with it let me know down below
in the comment section what your number
one investment of all time is and you
could be our next daily comment shout
out winner all right guys so what dollar
cost averaging actually is is actually
very
so let's say that you have an extra
$1,000 a month that you want to invest
into the stock market right if you have
$1,000 a month and what you're gonna do
is on the first day of every month
you're gonna vest $1,000 into the same
stock right so let's say that we choose
Apple just for the sake of example right
so we're gonna buy $1,000 of Apple stock
on the first of the month right so maybe
we're gonna get a hundred shares just
for the sake of math I know that that's
not the right the correct actual share
price for Apple but let's say for the
sake of math that Apple shares you can
buy a hundred of them for $1,000 so then
in the next month on the first of the
month
we're gonna again invest $1,000 right
but this month maybe this stock maybe
Apple stock went down and so what's
gonna happen is we're actually gonna be
able to buy more than 100 shares because
Apple stock is actually cheaper this
month because the stock price went down
so maybe this month we're gonna buy a
hundred and ten shares instead of last
month we were only able to afford a
hundred shares with that thousand
dollars so let's take it to the third
month right let's go to the third month
let's say that Apple stock has gone up
right so now instead of buying a hundred
the first month and then the second
month the stock price went down so we
were able to buy a hundred and ten the
third month it actually goes up right so
now Apple shares are actually
significantly higher and so this third
month we're only able to buy 90 shares
basically what dollar cost averaging
means is you eliminate the need to try
to time the market because each month
you're buying the same amount of
monetary value of stock if the stock
price goes up you get more shares if the
stock price goes down you get less
shares but the shares you do have have
gone up in value so what it does is it
basically mitigates the need to actually
try to time the market because you're
entering the market every month at the
same time whether the stock goes up you
know if the stock goes up you make money
on what you have if the stock goes down
you're able to buy more shares of that
stock that are hopefully gonna
eventually go up because you know if you
take the stock market as a whole since
the stock market first started right
it's gone up and up and up and yes there
are you know bear markets and yes the
stock market does go down in the short
term but in the long term right the
stock market has since it started gone
significantly up over the long term and
so dollar cost averaging mitigates the
need to actually have to try to time the
market and then the next part of it
right cuz dollar cost averaging is the
dca right i F is index funds so what an
index fund basically is is a low-cost
you know collection of stocks that is
meant to mimic the overall movement of
the market and so this is another way to
mitigate your risk and how this works
basically is you buy an index fund and
the my favorite place to buy index funds
is with Vanguard right Vanguard has very
very cheap index funds I would suggest
just googling you know Vanguard index
funds and you can read about which ones
that you you know like in are interested
in have been performing well and that
align with your investment strategy and
then what I like to do is I dollar cost
average the index fund so every month on
the first of the month or the 15th of
the month or the 30th of the month right
I'll buy a thousand dollars worth of the
index fund what this does is you
mitigate your risk of having to time the
market with dollar cost averaging and
then you also mitigate the risk of
buying a single stock and then that
stock going down right because as a
whole the market generally goes up
that's why that's why people invest in
the market because you know as a whole
the stock market has gone up and up and
up and so investing into an index fund
really mitigates your risk of a single
stock going down significantly because
you're investing into the market as a
whole right into the collection of
stocks as a whole which mitigates your
risk again so this is the single
strategy that I personally use and have
had the best success with because it
takes almost none of your time right
there's very little emotion because it's
the stock market as a whole
and your dollar cost averaging which
mitigates the actual risk of having to
time the market and so I hope you guys
enjoy this video if you did do me a
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next time guys happy hustling and happy
investing
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