In this video you’ll learn how you can turn $500 into over $500,000.
What’s the single best investing advice I have to offer? Easy answer.
You just have to START somewhere. But more on that in a minute....
★☆★Resources Mentioned in Video:★☆★
Best Investment Platform Where They Choose Investments for You:
Best Investment Platforms Where you Choose Investments:
Forbes article I wrote on this topic:
Blog post I wrote sharing the best online brokers to choose from:
Okay, back to the story...
There’s not many things that excite me more (with the exception of In-N-Out Burgers 🍔) than seeing a young investor get started for the first time.
The fact that this investor was the ripe age of 16 makes it that much more exciting.
Now you might also be thinking, “I'm not 16 years old, Jeff. I'm about 10 years from retirement.” I feel you.
Instead of giving up, there's so much you can do to better your finances.
I encourage you to invest something – what you reasonably can – toward a better future. Who knows, maybe later today you'll meet your future self thanking you for being smart and investing more for the future.
Here’s what you’ll learn in this new video:
▶︎ What the motivation of a 16 year old can teach us about making money.
▶︎ How I use a database of almost 30,000 different mutual funds that exist to show how easy it is to get started investing by buying mutual funds.
▶︎ How compound interest makes the magic of investing really happen.
▶︎ How the changes in the stock market really don’t impact whether you should or shouldn’t invest.
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Hey everyone. Question: What is the main roadblock which a 9 to 5 leaver runs into.. when trying to start a side hustle business which would eventually help him to get rid of that dead end job? Can it be, the lack of money, lack of skills, lack of right proven systems, mentors..what could it be?
+Jeff Rose During this summer I studied day trading, for me this seems fitting. I'm not a person that wants to invest money and expect to make hundred of thousands of dollars over a period of at least 40 years.
Loved this video but 😢 I’m tuning 40 next yr I’m trying to turn my financials around any help for me I’ve started acorns but I like what you’ve shown in this video I’m in Australia so I don’t know where to start with investing but would love to start before it’s too late if it isn’t already 😳🤣🤦🏼♀️
a) cannot open an investment account at age 16
b )tracking an initial investment of $500 in 1970 is not the same as $500 in 2017 for multiple reasons:
-Equity prices were dirt cheap for a long stretch of time from the Great Depression until the late 70s since many people were afraid of the market.
Also consider the beginning of the 70s were marked by a bear market and you are measuring the bottoming out of the stock market in the 70s and comparing it with the peak of a bull market.
At the end of the day, you can't time the market, and preceding returns may not reflect future outcomes. You cannot predict when a bull and bear market will happen and for how long it occured. This should just be treated as hypothetical WHAT IF/ What happened if you would have invested $500 at age - 31 years old.
I get that you want to explain the power of compounding interest, but as a financial advisor you can't propose future returns for a client with past data. Returns on mutual funds fluctuate each year, and It's best to use something like fixed rates or the overall S&P 500 returns for a better analysis.
+Jeff Rose technally I didn't considering how you worded everything from begging to end. Your talking about the part in 9:40ish I believe in what you think I missed. Which doesn't excuse the first bit of the video.
Great video! You have a new fan in me, I will try to catch up and see what I can do at 25 with my money. Just one question, is there any resource online for me to use where I could check the performance of several mutual funds?
so the kid started 50 years ago when he was 16 wish makes him now about 66, so apparently you must have been at least 6-8 years older than him for him to demand mentorship from you, so what you're basically saying is that you are a 74-year-old man... alright buddy
when are you going to try and sell me your course/book?
Read your first comment... "we need the hard facts not theoretical bs....:
So I give you the facts and now you say I'm pressuring you. You're a funny kid.
By the way....a custodial account legally becomes yours at 18. You can add money to it anytime you want.
Once again, that's why the 16 year-old I mentioned in the video...the one that didn't use excuses to not invest and didn't pretend to know everything and instead sought out the information to better himself... was using his lawn mowing money to invest.
"You should make shirts saying “disrespect minors” too"
Appreciate that. Guess that means you were watching one of my other videos. 😉
you didn't show that particular person anything you went look at the data and are using the data to let us know what we can do.. you mentiom at the beginning of the video that you weren't even born when this happened so please..
This 16 year old could have made even more money and faster by building his business. It takes a long while to make good money investing, but building a real business would increase his net worth faster. Just like all the other self help gurus that tell you how to become a millionaire through investing, what they don’t tell you is that they got rich selling books, courses, seminars, workshops, videos, blogs, interviews, etc. put the money to good use rather than sitting in slow investment vehicles. Think Bill Gates or Jeff Bezos. You think they became the world’s richest men by investing? No. Warren Buffet is the exception to the rule. He is the only investor in the world’s richest people list.
I trade forex for a living to feed my children and family... and this man George Higgins makes a living off marketing trading. He pitches the idea and sells it pretty well. Huge difference between a trader and a marketer, he probably doesn’t mind losing since he has income coming in from trading he does.. to top it off he uses his trading strategy? His strategy are lagging, but they make your chart look complicated, so when things look complicated, it makes it seems as if you need mentor to simplify it.. best way to trade is by having a naked chart, and purely use price action. Develop objective setups where you need numerous confirms before entering. Journal your trades and annotate them so your brain can get familiar with charts patterns. More to it, but good luck to those interested! Contact George Higgins for his best trading strategy to help you out georgehiggins @consultant. com
I’m 16 and have 3 jobs, have 700$ so far and I really wanna invest , Ive heard that it’s better the earlier you start, I really wanna know more about investing but have no idea where or how to start, or if I’m even to early being 16 😕
Invest $500 and cash out after 60+years old lol...sounds not good.
BETTER IDEA: Try building a business of ur own. Invest $500 in it and see it grows within few years.
The catch is that u need to work little bit.
Dude, mutual funds are for lazy ass....
Work for money so that money will work for u.
Good Luck pals
good morning jeff rose. thank you wonder full work. i have a problem i do know are to go about it, i want you to i vice me are to answer this question. i have a friend that i tell about betterment. is ask me are long it will take in, to see money that he want to use to house if he invest 500euro. pls rely me rely?
What's with all the negative comments? The video title should be, how regular people respond when they're told how to be wealthy...
No that's not true!!
Inflation omg inflation, your not taking inflation into consideration!!!
You found this channel for a reason so start investing!!
Think it's funny how many people say that it isn't worth waiting until you're 65 to make that much. There's a thing called reinvesting... It'll get you the money you want much sooner. Those are the people that end up broke their entire lives.
I make more money. Flipping shit on ebay per year. Waaay more money. Just start a savings and have a side hustle. Way more money than risking it in stocks. Do this so I can have a few extra bucks when I'm 60 and about to die? Also inflation fucks you over lol. Not to mention taxes.
No Jeff, these are not real numbers, for reasons mentioned below. To start, you are not turning $500 into $500k. You are turning $500 plus 540 payments of $25 into 500k.
I'm glad you're encouraging people generally to invest, but you are hurting your own cred when you pull the bate and switch with a click bait title that is clearly false.
Great video, keep it up! More like these please. And Jeff Rose, i am glad some commenters below debated your figures, of they said you forgot to mention Purchasing power 1970 vs today. Maybe add in inflation and purchasing power as a new video topic or into your videos!
Hello, I'm a 16 year old Filipino, I am interested about investing and I would like to ask what to do in order to gain money every month while investing because I always wanted to be independent and responsible. Can you help me please?
I'm not sure where the information is in this particular video because I sure didn't see it. I'm supposing maybe you ran out of content or something and maybe you needed to just post something. Like I can't believe I watched the whole thing and didn't get any new information other than what you have already informed us to be doing as far aas investing goes. We get that from the many other actually informative videos you have given us. You could have left this on out sir. I can't speak for everyone but I feel we probably all expected more from you sir. Respectfully. I'll wait for the next one.
Sometimes hearing the same thing delivered in a different way entices someone to finally take action. I’m sorry YOU didn’t get anything new out of this one video of mine. You could have left this comment to yourself. I can’t speak for everyone but I feel WE probably all expected more from you. I won’t be waiting for the next one.
Listen up people.... Don’t FUCKING STUPID! Here’s the reality of this “Marketing scheme....!”
You invest early, right? To retire with a greater lump sum due to compound interest. Here’s the “stab in the dick” sorta speak....
WHO THE FUCK WANTS TO ENJOY RETIREMENT MONEY THIS WAY?!
NO ONE, that’s who.
Check it. You want to retire “AS EARLY AS HUMANLY POSSIBLE” Which all depends on you and your ability to go out there with some ambition to become a millionaire by making smart investments that YOU control. Not the fucking stock market because you never know if that well will ever run dry by the time you’re 60 when you’re old as fuck and you can’t get your dick up or your Vajay-jay is all dried up. NO!
It’s a scheme for the elite to thank you for allowing them to enjoy your contribution while they can still get it up. Old people in Lamborghini’s always made me laugh because I always think... how long did it take to finally get their dream machine? Fucking hilarious!
Here’s what you do.
1. Come up with an IDEA 💡
2. Make a business out of that idea.
3. Get a marketing team to sell your idea.
4. Make the money NOW from the profits of that idea while you’re still young enough to enjoy the fucking fruits of your labors.
It sound easier said than done because it is. YOU GOTTA FUCKING WORK HARDER THAN THE AVERAGE PERSON TO LIVE ABOVE AVERAGE.
There’s NO SECRET FORMULA OTHER THAN YOU INVESTING IN YOURSELF!
Fuck, after you’ve made a couple million, then put a lump some into that compound interest bullshit to entertain yourself to see what it does, an amount you’re comfortable with losing if the stock market goes belly up, that way....
If it grows? Good, if not? Fine. You’re already established by betting on yourself and having assets of your own instead of someone else’s that you’re hoping you hit it big on...
Moral of this shit is...
Don’t let someone on YouTube or anyone else try convince you this is the way to be rich or build wealth. It’s a game of chance so why not take that chance on yourself?
People... you would do better earning passive income online. $500 bucks will not be worth $500 bucks in 10 years. Investing is a gamble and remember your money is losing value every day. Earning passive income online offers no risk.
Lol dude what mutual fund has those returns? 16,517% return. You cray cray. Just googled returns on mutual funds. Most of them have 10% return in 20 years. Not cumulative. So your $500 would be worth $550 in 20 years in the real world. Then inflation would have killed your account.
Is there any middle ground in between those 2 extremes? Not investing vs. investing in a shitty investment vehicle? Maybe investing in real estate, in buying and selling goods on Amazon/ebay, flipping cars, anything?
Work out if you need to pay.
When you know your gain you need to work out if you need to report and pay Capital Gains Tax.
You may be able to work out how much tax to pay on your shares.
the same type, acquired in the same company on the same date sold at the same time.
sold other shares in the tax year sold other chargeable assets in the tax year, such as a property you let out claim any reliefs are a company, agent, trustee or personal representative.
Reporting a loss.
The rules are different if you need to report a loss.
Fifth most actively traded share.
Market capital of DKK 206 bn.
Shareholders by geography.
Rest of Europe etc.
Ratings from equity analysts covering the Danske Bank share and consensus earnings estimates.
Selling in special circumstances.
shares you bought at different times and prices in one company shares through an investment club shares after a company merger or takeover employee share scheme shares.
Jointly owned shares and investments.
If you sell shares or investments that you own jointly with other people, work out the gain for the portion that you own, instead of the whole value. There are different rules for investment clubs.
What to do next.