One question I hear often when stocks come up in conversation: Don’t You Lose Money in the Stock Market?
This is one of many commonly asked concerns. I had this same impression many years ago, escpeciallly after what happened from our recent stock market crash. When it comes to stock investing, yes, you certainly can lose a lot of money.However, If you invest wisely, stocks can make millions for you.
Let’s say you had $1,000 aside from your emergency fund. Would you buy a Givenchy bag with that money or invest it into an agressive index fund? Let’s say you buy that goregrous bag. You sure will be stuntin’ for two seasons, but there is always something nicer out there and fashion is an ever-revolving industry. While you were busy keeping up with the Joneses, the other woman invested her $1,000 into and agressive index fund and made a 45% increase within’ six months (give or take).
It all depends on the individual, but consider looking at the value of stock investing. People lose money every day by overspending- not properly managing their finances, and buying on impulse. Yes, you can lose money in stocks, but you can also create more for your retirement.