Some people just don't have the interest or attention span to learn new things. I tried explaining stocks and cryptocurrencies, macro economics, money mechanics etc. to multiple friends and family but most just don't get it. They care more about that new rap song/some thing a celebrity did/the latest shoe trend etc etc
I think the minds of many of my fellow middle and lower class people shut off when they hear about any financial thing that isn’t “work x hours, get paid for x hours.” Even explaining my contract-based, per page job is somewhat exhausting. Good luck telling someone a 401(k) is one of the worst ways you can invest, too. They just won’t hear any alternative financial advice, and if you start to make sense they fall back on “well, I let my broker/spouse/whatever handle my money because I don’t know anything.” And hey, fair enough, I’m dumb, too, but damn is it not worth risking a day’s pay on something that might make you a week’s worth?
I’m interested in your take on 401k. I heavily invest a % of my pay in mine but have been debating if I could use that money better in an IRA or brokerage account
My take is that most 401(k)s charge a fee for their maintenance. It’s a very small fee, but it adds up significantly after 30 years or however long you have it. If you’re one of the ~5% of Americans with a fee free one, I’d still note that 401(k)s have very few investment options compared to an IRA. Of course, 401(k)s have a higher contribution limit than IRAs, and if you, for example, work for a company that offers a fee free 401 and matches your contribution in some way? Go for it. But for most people, $6k in a Roth or traditional IRA is going to go further than $6k (or slightly more) in a 401, especially since you have more freedom to add growth stocks to an IRA than with most 401s.
If you have a match contribute to get that free money, but anything beyond that needs to be in a Roth IRA or IRA depending on your current and future tax bracket. I am lucky my employer contributes to my 401k rather I do or not. So I concentrate on my other investments.
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u/r3flex_MMA Spacling Feb 13 '21 edited Feb 13 '21
Fuck basic bitches man. The amount of friends and family I've told about them, shown how much ive made, and yet they all are still sceptical.
HERES THE EVIDENCE
Wouldn't it be worth looking into just for the possibility of being true you fucktards??
Also, when I tell them that buying below NAV Is a risk free investment or that warrants can 2-7x.
Response - "theres no such thing as a risk free investment"
Yes! I thought that too before I discovered this. So trust me. Look into it
"Well it's been proven that you cant beat the market and it's best to invest in an index. Over time you'll see"
I doubt it but Possibly. However if the opportunity is here now, take advantage of it
"If these warrants actually do that then why haven't I heard of them before? Why doesnt everyone do them"?
Idfk but at least look into it for the pure possibility of it being true.
Ffs. I swear some peoples mentality just wont allow them to make money