You know how intimidating it is to send the first text on a dating app? Feel the same way about investing?Stocks? Bonds? Mutual funds? Doesn’t it feel like a big boy shit? It sounds like a commitment that maybe we aren’t ready for it?
But here’s the catch. Investing in your early 20s is basically setting up your dating profile to marry. Sounds dreamy now. You are suddenly in a long-term relationship with little ups and downs but more and more serious and promising as you get to know each other more.
I am here to make it easier for you to understand it.
The first thing you do is create your dating profile. Right? You enter the dating world with a certain intention in your mind.
Maybe you are
High risk taker – falling head over heels
They invest for thrills of the mystery. They invest in high volatile stocks and crypto.
Low risk taker – slow and steady- The ones that invest for stability and future into long terms.
The situationship seeker – moderate risk taker- They like a little bit of excitement but don’t want their hearts broken so they diversify the stocks.
Now lets move to stocks, bonds and mutual funds.
Stocks are like those very exciting but unpredictable crushes. They come with huge risks or high rewards. Some can be smooth talkers but disappear overnight, who knows? Some people are clearly green flags like Microsoft, Apple, etc. that are long term partners- stable and trustworthy.
Bonds are like less exciting crushes but boy are they dependable!!Although they are low reward, they carry very little risk with them.
Mutual funds are kind of like group dates. Sounds weird right? But trust me it is not. Here you don’t pick one but pick up a bundle.
Now since we have talked about a few terms, let’s run to the masterchef’s of this soup.
