Letter: Best way to build wealth takes risk
People in the financial field, like certified financial planners and insurance agents, don’t want you to invest in the stock market. Investing in the stock market long term is the best way to build wealth. Though there are risks, be patient, follow up on your investments and study stocks. With dollar cost averaging, compounding interest and dividends, you will grow money gradually over time.
Study stock market greats like Warren Buffett identify great companies with great fundamentals and buy when the stock is low. Always be prepared for the possibility of a recession, and make sure your eggs aren’t all in one basket.
Also, invest in a healthy mix of bonds too. The younger you are, the more time you will have to be prepared for retirement.
I am not a financial planner and I am not advising anyone to buy stocks or bonds.
— Sterling Pless