Folks, I’m 55 as the time of my watching this video 12-4-2020. I implore you young people. Invest your money. Stop with the materialistic living. Those $200 Jordan’s are going to wear out. When you’re 65. Those clothes and shoes won’t build wealth nor pay your bills. I wish I was smarter with my money when I was young. I subscribe to the Dave Ramsey quote. “Live like no one else so that later you can live like no one else”
Im 19 trying to start with investing i don't really understand the s&p 500 and how to invest in it or what a broker is it like the app degiro? Because i use them
@@melo..... take this advice from an old man who was extremely foolish with his money when he was 19. 1. Save your money. Don’t buy the Jordan’s, or the name brand clothes. Those things don’t appreciate in value. 2. Don’t waste your money on impressing girls. Let them think you’re broke.
Always told myself once I had a stable job and turned 25 I would start investing as much as I could in the S&P 500. Well that time has come. Thank you so much for this. This is exactly what I needed to see.
So please explain this to me. If I invest every month in the S&P 500 can I get money from it every month or do I just need to wait until late in my life to sell it and earn my money?
@@5thdimentionalbeing367 Mosty likely, you should invest and wait so that the investments can grow and compound for you so that you can retire and withdrawal from those investments to live on
@@asdasd-lq2hd depends on what your goals are. You're wealth will grow faster if you continue buying more shares over those 40 years in addition to letting compound interest grow it on his own.
@@OnCashFlow can you explain how compounding works on s&p500. Let’s say I bought 10 shares at 100$ each, total 1000$. 1 year later it goes up by 10% so now my shares are worth 1100$, how am I suppose to reinvest that 100$ without selling my shares? It’s not like I get that 100$ by interest or dividends.
Very informative step by step video 👍🏻, one that folks really need to watch. I’m 65, finally retired at 60. I have 35% of my capital invstments in an IRA, 25% in the s&p 500's, and the balance spread across other investment accts. I receive income from rental property too. Zero debt. Everythings working well.
Very well explained why S&P500 could be the best index fund for a average person who doesn’t want to spend endless hours diving deeper into investment world. Well diversified, cheap to own since it is not actively managed fund. Decent returns. Good and very well balanced video. Good to see fellow youtuber spending his own valuable time to teach people at least a little bit about finances and investments. Good job!
@@OnCashFlowmy issue is trying to decide how much of my monthly income to invest and also what to do with money I currently have just sitting in a basic checking account. Can I still pay my monthly bills using a s&p fund
You should keep some money in cash, so that you are not paying your bills using investments. Start with a retirement account such as your workplace 401k, or an IRA. Start with at least 10% of your income and work up from there as you learn more and develop your financial goals.@@shainlethal2742
I love how simplistic his video room is and the plant he has on his desk shows how he can put in little effort to feed the plant and it will grow strong just like how he invests in his life.
Thanks! Some would call it boring, but I like to refer to it as minimalist lol! Thank you for watching! I life to believe my more recent videos have gotten better though, so I would love it if you could check them out :)
OMG, you just put me on my way to become a millionaire! Thanks, for using simple, normal talk and inspired me to take action. I’m following your simple directions. God bless you!
Thank you for the excellent video. I was so confused on this topic before watching this topic. It explained everything very well. The best part that I liked was when the screen was shared and you showed how to find the SP500 by filtering. Thank you again.
Thank you so much for your generous comments. I really appreciate you pointing out the most helpful part, this is really helpful for me to continue providing value in future videos :)
I buy $2k of VOO each year for my three and five year old nephews as their Christmas and respective birthday presents, but it's a complete secret to them and they're gonna think I'm a total cheapo. Once they're ready to move out of the house is when I will reveal the brokerage account to them.
I am pretty Young I guess, 16 years old... Amma get started with this, 10/02/2024. I think starting young is really good in this kind of stuff. Thanks a lot for this info.
thank you for using language that I can understand as a beginnner lol and providing step by step. this video is helpful and I am definitely going to sub to your channel.
Hello I’m the UK & the asking is £100.00 and than you can adjust to whatever suits you per month. I just spoke with Vanguard in London today after you mentioned them as in this video.
Very helpful video, I have been searching about S&P 500 for the last month and this is the best video so far keep up the good work. I have a question thou. How can I invest in S&P 500 from Europe? I'm living currently in Romania.
I'm so glad it was helpful! You are going to have to go through a broker. You might be able to open an account with a U.S. broker, but I'm sure they have additional requirements for non-U.S. citizens. I would find a broker you want to work with and try to find a FAQ (frequently asked questions) page on their website or an international page. Some highly reputable U.S. brokers that might work for you are Vanguard, Fidelity, Charles Schwab, and so much more! Good luck!
I'm still slightly confused on what exactly the s&p 500 is. Is it a company that deals with a massive amount of companies stocks? And if so, how do I find out what stocks belong to s&p 500
It's an Index, something that tracks a certain part of a financial market. In this case, the 500 largest publicly traded companies. S&P (Standard & Poor's) is a company that created the index. You purchase shares of a Mutual Fund or Exchange Traded Fund (ETF) that owns the same companies in the same manner that the index tracks. It is easy to find out what companies are in the index on Google.
What are your thoughts on people who say investing in 401ks and retirement funds are terrible investments and say to invest in real estate and crypto instead?
Haha I guess it depends on what else they are saying. Real Estate can be a fantastic investment but I think the risk is a different kind of risk and obviously requires much more work than simply putting money into the market. Crypto is a brand new phenomenon and only time will tell how successful it will be. Is it a bubble right now? Maybe. It's definitely way to complicated for most of us to fully understand. The technology aspect is amazing, which Crypto is here to stay and which isn't? I don't know. It could make some people a lot of money, but it will make 100x more people lose a lot of money (it already has). Very volatile for the typical person's retirement fund. I strongly disagree that investing in retirement plans is "a terrible investment". Honestly it would take a lot more than a YT comment to respond fully to this :O For most of us who want decent long-term returns and a hands off approach, investing in the broad market is one of the easiest ways to grow wealth in our lifetimes.
But how does it work if the S & P 500 is at 3950 today and you invest 5000 in it. So its not by shares then its just 5000 spread out on the whole S & P 500. ?
Well it's different when you buy an index fund because they all can have a different number of shares/price. The underlying holding are the same though.
Sorry, I do not know, but they do have international websites that list the countries they support. You should be able to find your answer on there :) www.fidelityinternational.com/ global.vanguard.com/portal/site/home
I really enjoy the video man , Great information, I would love to see a video on how to invest in index funds in long term like S&P 500 using Fidelity , Vanguard or etoro. Regards!
Thank you for the suggestion! I recommend and use M1 Finance now for long-term investing. Have you seen my full guide to investing your way to financial independence? I think it will definitely help you out: ua-cam.com/video/UrifLVQIihw/v-deo.html
“October: This is one of the peculiarly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.”
Confused about step 2. So I’m opening an IRA and putting money in it for what reason? To use that money to buy into an S&P mutual fund with the broker? Or am I buying with the broker and having them deposit into the IRA?
Well you have to put money into the account so that you can purchase shares of the investment. The broker is just the means of accomplishing your goal. You will log into the website and purchase shares with the money you transferred in.
Do you sell the s&p to take the money and reinvest it when it is at a lower price or you just regularly invest in it and take it out for example like 20 years later for starting a business or buying a house?
You don't have to sell off to reinvest. Dividends should be set up to reinvest automatically. As the economy grows, so will the value of the shares you have bought of the S&P 500. Then after many years for retirement, business, buying a house etc. You can sell off a few shares and convert them to cash. I hope this helps!
I'm about 7-minutes into this video, and you're probably going to cover this...but are we buying shares in an S&P 500 index fund at a certain price per share? Does the share price change (up or down) daily like everything else in the market? Can I do dollar cost average when buying shares ($100 per month for example)? I am 68 yrs young and in good health, no dependents. Is this a appropriate investment for me?
1. You are buying shares at different prices because as you alluded to, the price WILL change daily, weekly, monthly, etc. Because the S&P 500 IS the market (80ish percent of it?) 2. Yes, you can do dollar cost averaging with any amount, it's an excellent strategy! 3. I believe that the U.S. stock market is an appropriate investment for everyone. Depending on your risk tolerance, you may or may not need something such as bonds as a portion of your portfolio to help smooth the ups and downs of the S&P 500. I hope this helps get you started in the right direction! :)
Do you have to use a type of ira to invest in the s&p500 and get compound intrsst overtime or can you just use your brokerage account to invest in the s&p 500 and get the same benefits?
You can get the same result in a brokerage account, but you may lose some net growth due to possibly paying taxes along the way. You can certainly start with a regular brokerage account if you want to!
Hi Alan, thank you very much for the positive feedback! Taking a quick look at both of the funds, it appears to be pretty much the same. FXAIX has an expense ratio of 0.015% and FDFIX has 0%. Composition is practically the same with FXAIX having 508 holdings and FDFIX having 507 holdings, with similar allocations. I really think that you can't go wrong choosing either of them!
Im 18. I struggle with money management. Saving is bad idea rn because economy. My plan is to spend the 1 grand I got when I turned 18. Buy an Xbox and graphic tablet. Design logos for company's and sell them. From that profit invest it and get a job 600 on rent 150 on entertainment the £200 left over invest. Makes most sense to me
I wouldn't say "saving" is a bad idea, but yes investing is usually better. Trying to start your own business at 18 is a great idea because there is a lot of upside and little downside right now as you have little liabilities/obligations. Good luck!
Please help me. Ok so I follow the steps and open an S&P500. I put in the minimum money required to start. Now what? I make minimum payments per month on any given day that I choose when discussed woth my broker.. Ok I don't understand how this is making money. What is the interest rate? Why do I have to make monthly payments? How long before I can take my money out? Can you lose all of your money? Thanks
1. There is no interest rate. Stocks either appreciate or pay dividends. 2. You don't have to make monthly payments. It just means you are buying more shares of the fund. 3. It depends on what kind of account you are invested in. If it's a regular brokerage account then you can theoretically sell your investments and take the cash at just about any time. 4. Theoretically, the only way to lose your money in the S&P 500 is the United States ceased to exist because that would mean there are not 500 publicly traded large companies operating in the U.S. I hope this helps, keep learning my friend.
This was very informative thank you! I'd like to ask, if you don't invest more money each month, what happens? So for example I invest 2000$ one time, then I don't invest anymore the next month.
You will still see compound interest, but not nearly as much as if you kept adding to your position. Also, when you keep adding to your position, you are buying shares at different prices, thus averaging out the total cost of your shares. Look up compound interest calculator and play with the numbers to see how little additions can make for huge gains over the long term, especially compared to just one lump sum investment.
Hi buddy, which retirement account do you think is best to hold an s&p 500 account if im self employed and looking to invest on a separate high dividend yield fund on a more tax friendly account? You touched on the topic but im not clear on it just yet. Thanks
Well it highly depends on your situation, goals, and how much $ you want to invest. My default personal preference is Roth IRA/Roth 401k if you're in the 12% tax bracket and under. Then Traditional IRA/401k if you are in the 22%+ tax bracket. If you live in a 0% income tax state then maybe still Roth over traditional even in the 22%/24% bracket. Just a quick thought. Have you seen my Roth vs Traditional video? ua-cam.com/video/HfdvlcYzdfA/v-deo.html
Thank you for making this video it’s very helpful and informative. I just wanted to verify that I’m doing it correctly, so I found the fidelity s&p 500 index fund that you talked about at 4:55 in the video. I clicked buy on that and what I’m getting at is that on the next page to where it takes you, there’s a dollar amount of $196.54 next to where it says symbol (FXAIX), what does that amount mean?
Mainly how they are traded. I think Investopedia can explain it better than I can: www.investopedia.com/financial-edge/0612/index-mutual-funds-vs.-index-etfs.aspx
The best depends, but I encourage not having an app at all so that you set up regular investments that buy the index, and then practically forget about it. I recommend Vanguard, Fidelity, M1, and/or Schwab.
I need your help. I'm new in investing I got webull to start my investments but I can't find s&p500 on tjere os but when I cli k on ot it givsme more options to choose from. Isn't s&p supposed to be one choose ND then they diversifi the money to different companies?
You will probably have to find and S&P 500 ETF (exchange traded fund) on that platform. Try looking for VOO ticket symbol (Vanguard S&P 500 index fund ETF) I hope this helps!
Yes you can open any account that you want to, you're an adult haha. I don't have personal experience with wealth front, but I'm sure it's fine if it is reputable, has low fee index funds, etc.
Great video and explanation. Question: if i allocate 100% to s&p 500 do i have to actively monitor and invest or is it a set it and forget it like target date funds?
Great video very informative. I want to get your view on something. Say I want to invest £500 into the S&P 500 but I do not want to do automatic payments every month yet, what would be the best fund on Fidelity to invest that money into?
Yes, you absolutely can. It's simply referred to as a "taxable investment account" or "brokerage account" or "individual investment account" or something similar, but it all means the same thing.
Hello! It really depends on your goals, if you want to slowly build up long term wealth then a general recommendation is to invest as much as you can as often as you can into index funds such as the s&p 500, total stock market funds, total international stick funds, total bond funds, etc. I hope this helps point you in the right direction! :)
Very informative! What if my home currency is not dollars! The S&P 500 is all about USD and then I will need to worry about currency exchange, etc. Any other index fun you recommend?
Yes, it's in USD because it is the U.S. stock market. Everything that I would generally invest in would be in USD, and you would have to look into how your own country's investment brokers work.
I been using the stash app I have the traditional IRA and I’ve invested in single stocks like apple meta etc and also in ended funds like VTI. You think so far I’m doing good ?
I can't really say much about the Stash platform, but having a Traditional IRA is good, you should also open up a Roth IRA and possibly a regular investment account. Keep learning and and slowly adopting great investment concepts into your own strategy slowly over time.
This video is great, lots of knowledge! Quick "stupid" question: would it hurt to use a regular saving account? Or would you generally assume a Roth or 40(1)k works better, or does it matter? I am a novel here so completely clueless, thank you!
A regular savings account cannot invest. You could use a regular taxable brokerage account? Generally speaking I think a retirement account is better for most people as the default option. If you are in a lower tax bracket then generally Roth is better. If you need to avoid high marginal taxes then a traditional might be better.
Hey everyone. I'm from Cape Town South Africa. I would like to know if investing in the S&P 500 is still possible? Can you do it from anywhere in the world?
Yes you can! Foreign investors certainly can invest in U.S. companies. How? Well that depends on your own country, but I would guess that it's not too difficult in South Africa.
You're a U.S. citizen? Yeah they will do that, but if you are a U.S. citizen then no problem. I was stationed in Japan and had my investments at Fidelity and I remember the disclaimer always popping up. Could also use a VPN lol
@@TheKraftykid In that case, I don't know. Because Fidelity.com is the U.S. service. If they serve The U.K. then it should be okay. Definately read the disclaimer. Maybe they have a .co.uk website?
@@srrj9358 Happy to help! I think I am going to make a step-by-step on the M1 Finance platform soon to help out beginners. I use them and recommend them for how simple the layout is: oncashflow.com/resources
All of Fidelity's funds should be no transaction charge, as well as any ETF. Maybe you should try M1 finance? (I relocated all my investments there). I would appreciate it if you checked them out through my affiliate link (even if you don't end up wanting to sign up) www.oncashflow.com/m1
Folks, I’m 55 as the time of my watching this video 12-4-2020. I implore you young people. Invest your money. Stop with the materialistic living. Those $200 Jordan’s are going to wear out. When you’re 65. Those clothes and shoes won’t build wealth nor pay your bills. I wish I was smarter with my money when I was young. I subscribe to the Dave Ramsey quote. “Live like no one else so that later you can live like no one else”
Thank you, sir, for sharing your wisdom! I agree with every word!
Still got a good 10 to 15 years.. invest todY
Im 19 trying to start with investing i don't really understand the s&p 500 and how to invest in it or what a broker is it like the app degiro? Because i use them
@@melo..... take this advice from an old man who was extremely foolish with his money when he was 19. 1. Save your money. Don’t buy the Jordan’s, or the name brand clothes. Those things don’t appreciate in value. 2. Don’t waste your money on impressing girls. Let them think you’re broke.
I already do all those things hahaha i really am thinking about my Future some say even to much
Always told myself once I had a stable job and turned 25 I would start investing as much as I could in the S&P 500. Well that time has come. Thank you so much for this. This is exactly what I needed to see.
You are welcome! I wish you the best on your investing journey! Never stop learning!
So please explain this to me. If I invest every month in the S&P 500 can I get money from it every month or do I just need to wait until late in my life to sell it and earn my money?
@@5thdimentionalbeing367 Mosty likely, you should invest and wait so that the investments can grow and compound for you so that you can retire and withdrawal from those investments to live on
@@OnCashFlow I appreciate it
Treat monthly investing as just another “bill” to pay.
It's my biggest bill every month!
THIS I NEEDED TO HEAR THANK YOU
@@OnCashFlow After I buy a bunch of VSP, do I need to do anything after? Do I just wait like 40 years without touching anything?
@@asdasd-lq2hd depends on what your goals are. You're wealth will grow faster if you continue buying more shares over those 40 years in addition to letting compound interest grow it on his own.
@@OnCashFlow can you explain how compounding works on s&p500. Let’s say I bought 10 shares at 100$ each, total 1000$. 1 year later it goes up by 10% so now my shares are worth 1100$, how am I suppose to reinvest that 100$ without selling my shares? It’s not like I get that 100$ by interest or dividends.
Very informative step by step video 👍🏻, one that folks really need to watch. I’m 65, finally retired at 60. I have 35% of my capital invstments in an IRA, 25% in the s&p 500's, and the balance spread across other investment accts. I receive income from rental property too. Zero debt. Everythings working well.
Awesome!
This is a perfect video, no over explaining, no fillers. Just straight knowledge, earned a sub solely on showmanship and the amount of info.
Thank you very much! I like to think that I have gotten even better since with my newer videos! Please let me know what you think!
Very well explained why S&P500 could be the best index fund for a average person who doesn’t want to spend endless hours diving deeper into investment world. Well diversified, cheap to own since it is not actively managed fund. Decent returns. Good and very well balanced video. Good to see fellow youtuber spending his own valuable time to teach people at least a little bit about finances and investments. Good job!
Thanks! Even when most people spend endless hours diving deeper, most of them will not match the returns of the market over the long run!
@@OnCashFlowmy issue is trying to decide how much of my monthly income to invest and also what to do with money I currently have just sitting in a basic checking account. Can I still pay my monthly bills using a s&p fund
You should keep some money in cash, so that you are not paying your bills using investments. Start with a retirement account such as your workplace 401k, or an IRA. Start with at least 10% of your income and work up from there as you learn more and develop your financial goals.@@shainlethal2742
I love how simplistic his video room is and the plant he has on his desk shows how he can put in little effort to feed the plant and it will grow strong just like how he invests in his life.
Thanks! Some would call it boring, but I like to refer to it as minimalist lol! Thank you for watching! I life to believe my more recent videos have gotten better though, so I would love it if you could check them out :)
OMG, you just put me on my way to become a millionaire! Thanks, for using simple, normal talk and inspired me to take action. I’m following your simple directions. God bless you!
Thank you so much! I'm really glad that I could help you out, and I hope that I can continue to do so in the future!
I feel the same way thanks for speaking mundane
what is s&p 500's full name
@@hovergamer5957 standard and poor 500
This is literally the first video I've ever watched about the S&P and investments. Your video was great really helped me understand the basics
That is so awesome! I'm really glad it was helpful! I hope that I can continue to help you going forward!
Thank you for the excellent video. I was so confused on this topic before watching this topic. It explained everything very well. The best part that I liked was when the screen was shared and you showed how to find the SP500 by filtering. Thank you again.
Thank you so much for your generous comments. I really appreciate you pointing out the most helpful part, this is really helpful for me to continue providing value in future videos :)
I buy $2k of VOO each year for my three and five year old nephews as their Christmas and respective birthday presents, but it's a complete secret to them and they're gonna think I'm a total cheapo. Once they're ready to move out of the house is when I will reveal the brokerage account to them.
That is so awesome!!! Best present ever!
@@OnCashFlowi really need one on one help on this , can you please help
Me out .. Do you have an email or some way I could contact you . Please
@@daphilcolag zacharysmith@oncashflow.com
@@OnCashFlow thanks . I sent you an email
I am pretty Young I guess, 16 years old...
Amma get started with this, 10/02/2024.
I think starting young is really good in this kind of stuff. Thanks a lot for this info.
Yes! Great to get started as soon as you can. It will pay off big in the future!
Thank you for this video! Just saved my first 10k. Definitely going to invest some into smp500
Alright! Hopefully, this is the start of something big for your future! :)
so just to be clear, fidelity has a minimum of zero meaning you can start investing with out paying anything before
Yes they do! I love competition in the financial industry giving us gifts like this!
What do you think about Interactive Brokers?
@@urmatniffy4908 I don't have any experience with them, but I have heard about the legendary low margin rates. I'm sure they are just as good as most!
Huge thanks my man I’ve been in a google worm hole trying to figure this thing out
I'm so glad it was helpful!
I can't stop looking at the plant on the corner of your desk.
If my plant increases watch time, then I'm happy. lol :)
Thanks for the clear video! You just helped me buy my first stock ever!!
Congratulations! You have a long and wealthy road ahead of you! Please never stop learning!
thank you for using language that I can understand as a beginnner lol and providing step by step. this video is helpful and I am definitely going to sub to your channel.
Thank you very much! I'm so glad that it was helpful! and Thank you very much for subscribing, It means a lot, I really appreciate it! 😀
great video, thank you for explaining how to get on s&p 500, so very informative 🙏🙏
No problem, I'm always happy to help!
I like the way he explains himself on how to begin to invest, I can actually understand him
Thank you so much for your kind comment!
This dude actually explained what I have to do and I actually understood
Yay!
Hello I’m the UK & the asking is £100.00 and than you can adjust to whatever suits you per month. I just spoke with Vanguard in London today after you mentioned them as in this video.
contribute 100 per month? that's a good start!
Thank man great info ⭐⭐⭐⭐⭐ vanguard was a the top of my list
You are very welcome! Thank you for watching! Probably can't go wrong with Vanguard! 😀
Thank you!!!
This was a tremendous blessing!!!!
You are awesome 🙂
Thank you so much for your kind words, I really appreciate it!
Very helpful video, I have been searching about S&P 500 for the last month and this is the best video so far keep up the good work. I have a question thou. How can I invest in S&P 500 from Europe? I'm living currently in Romania.
I'm so glad it was helpful! You are going to have to go through a broker. You might be able to open an account with a U.S. broker, but I'm sure they have additional requirements for non-U.S. citizens. I would find a broker you want to work with and try to find a FAQ (frequently asked questions) page on their website or an international page. Some highly reputable U.S. brokers that might work for you are Vanguard, Fidelity, Charles Schwab, and so much more! Good luck!
@makis Hoxha did you find out how? Im from Belgium really interested if you succeeded with Vanguard or so..
@@melo..... Try trading212, so far so good for me
He really deserve "like" and the subscription when he asks for it ! Love the video thank you mate 😊
Thank you so much for the kind words, it really means a lot! :)
Getting started thanks to you.
You are very welcome! Thank you for watching! I wish you the best of luck!
Hello Sir! I appreciate your effort on replying each and ever individual comments.
Thank you very much for your kinds words. I want to try my best to help as many people as possible :)
I'm still slightly confused on what exactly the s&p 500 is. Is it a company that deals with a massive amount of companies stocks? And if so, how do I find out what stocks belong to s&p 500
It's an Index, something that tracks a certain part of a financial market. In this case, the 500 largest publicly traded companies. S&P (Standard & Poor's) is a company that created the index.
You purchase shares of a Mutual Fund or Exchange Traded Fund (ETF) that owns the same companies in the same manner that the index tracks. It is easy to find out what companies are in the index on Google.
What are your thoughts on people who say investing in 401ks and retirement funds are terrible investments and say to invest in real estate and crypto instead?
Haha I guess it depends on what else they are saying. Real Estate can be a fantastic investment but I think the risk is a different kind of risk and obviously requires much more work than simply putting money into the market.
Crypto is a brand new phenomenon and only time will tell how successful it will be. Is it a bubble right now? Maybe. It's definitely way to complicated for most of us to fully understand. The technology aspect is amazing, which Crypto is here to stay and which isn't? I don't know. It could make some people a lot of money, but it will make 100x more people lose a lot of money (it already has). Very volatile for the typical person's retirement fund.
I strongly disagree that investing in retirement plans is "a terrible investment". Honestly it would take a lot more than a YT comment to respond fully to this :O For most of us who want decent long-term returns and a hands off approach, investing in the broad market is one of the easiest ways to grow wealth in our lifetimes.
This video helped me a lot! Thank you!
Awesome! I'm so glad that you found it helpful!
Thanks, man, nice video. But that plant on your desk is waiting for an accident to happen)
Oh yeah, it has happened lol
Bro thanks for this I understand now.
You are very welcome! Thank you for watching!
Move that plant over by the microphone stand. I kept waiting for your elbow to knock it off the desk.
The plant is no longer at risk, I moved it into a bigger planter elsewhere haha
great video!! thankyou for sharing i'm a beginner who joined the nfc community
Thank you for watching!
Really appreciate your help. Wish you the best man💪🏿💪🏿💪🏿
Thank you so much! I'm very glad that I could help you!
But how does it work if the S & P 500 is at 3950 today and you invest 5000 in it. So its not by shares then its just 5000 spread out on the whole S & P 500. ?
Well it's different when you buy an index fund because they all can have a different number of shares/price. The underlying holding are the same though.
Great video content, i have been doing some research on the S&P 500, do you know if fidelity or vanguard works in Nigeria?
Sorry, I do not know, but they do have international websites that list the countries they support. You should be able to find your answer on there :)
www.fidelityinternational.com/
global.vanguard.com/portal/site/home
Thank you for the knowledge, great video.
I'm glad it was helpful! Hopefully I can continue to bring you great knowledge in the future? :)
How do you do only $20 a month??? The stocks price is a lot more than 20.
You can buy "fractional shares" of pretty much any amount.
Very helpful video thanks 🙏🏼
Really Helped, Subscribed
Awesome! Thank you so much Amar! :)
Just subscribed loving your advice
Awesome! I'm glad I could help!
He made an 11 min vudeo for something that takes 5 mins amazing
Thanks
I really enjoy the video man , Great information, I would love to see a video on how to invest in index funds in long term like S&P 500 using Fidelity , Vanguard or etoro. Regards!
Thank you for the suggestion! I recommend and use M1 Finance now for long-term investing.
Have you seen my full guide to investing your way to financial independence? I think it will definitely help you out:
ua-cam.com/video/UrifLVQIihw/v-deo.html
GREAT CONTENT!!!! STRAIGHT TO THE POINT!! THANK YOU !!
Woohoo! Appreciate your comments! :)
Live below your means and you'll always have enough money.
In the case of financial independence, Far below your means ;)
I mainly use VTI, and “juice” it with a smaller VBR holding.
“October: This is one of the peculiarly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.”
Hi from Europe, awesome & very simple video
Thanks!
This is so helpful! All of these other videos are information overload, thanks for making this
Awesome, so glad it was helpful!
Confused about step 2. So I’m opening an IRA and putting money in it for what reason? To use that money to buy into an S&P mutual fund with the broker? Or am I buying with the broker and having them deposit into the IRA?
Well you have to put money into the account so that you can purchase shares of the investment. The broker is just the means of accomplishing your goal. You will log into the website and purchase shares with the money you transferred in.
THANK YOU FOR THIS INFO!!!
You are very welcome! Thank you for watching!
Is it better to buy when the market is low? Then after each month just invest more money not caring where the market is?
It's better for most of us to buy regardless and stay invested for a lifetime and beyond :)
Your office looks like a recording set for porn but the info is solid, thanks bro
Wow I can't say that I agree lol
Clear & Concise, Thanks buddy. Suscribed!
Awesome, thank you so much! Glad you liked it!
You've earned a subscriber. Very well formatted video and crazy how you called it early this year.
Thank you very much! I really appreciate the kind words!
Do you sell the s&p to take the money and reinvest it when it is at a lower price or you just regularly invest in it and take it out for example like 20 years later for starting a business or buying a house?
You don't have to sell off to reinvest. Dividends should be set up to reinvest automatically. As the economy grows, so will the value of the shares you have bought of the S&P 500. Then after many years for retirement, business, buying a house etc. You can sell off a few shares and convert them to cash. I hope this helps!
I'm about 7-minutes into this video, and you're probably going to cover this...but are we buying shares in an S&P 500 index fund at a certain price per share? Does the share price change (up or down) daily like everything else in the market? Can I do dollar cost average when buying shares ($100 per month for example)? I am 68 yrs young and in good health, no dependents. Is this a appropriate investment for me?
1. You are buying shares at different prices because as you alluded to, the price WILL change daily, weekly, monthly, etc. Because the S&P 500 IS the market (80ish percent of it?)
2. Yes, you can do dollar cost averaging with any amount, it's an excellent strategy!
3. I believe that the U.S. stock market is an appropriate investment for everyone. Depending on your risk tolerance, you may or may not need something such as bonds as a portion of your portfolio to help smooth the ups and downs of the S&P 500.
I hope this helps get you started in the right direction! :)
@@OnCashFlow Yes. Thank you.
Great video. Very informative. Liked and subscribed!!
Awesome! So glad it was helpful!
Very informative, recommended.
Awesome, so glad it was helpful!
Do you have to use a type of ira to invest in the s&p500 and get compound intrsst overtime or can you just use your brokerage account to invest in the s&p 500 and get the same benefits?
You can get the same result in a brokerage account, but you may lose some net growth due to possibly paying taxes along the way. You can certainly start with a regular brokerage account if you want to!
Great vid thank you🇹🇹🇹🇹🇹🇹
Thank you very much for the positive feedback! I really do appreciate it!
Is the Fidelity flex 500 index fund same from the Fidelity 500 index fund you pick out in the video ?
Btw great video !
Hi Alan, thank you very much for the positive feedback! Taking a quick look at both of the funds, it appears to be pretty much the same. FXAIX has an expense ratio of 0.015% and FDFIX has 0%. Composition is practically the same with FXAIX having 508 holdings and FDFIX having 507 holdings, with similar allocations. I really think that you can't go wrong choosing either of them!
Im 18. I struggle with money management. Saving is bad idea rn because economy. My plan is to spend the 1 grand I got when I turned 18. Buy an Xbox and graphic tablet. Design logos for company's and sell them. From that profit invest it and get a job 600 on rent 150 on entertainment the £200 left over invest. Makes most sense to me
I wouldn't say "saving" is a bad idea, but yes investing is usually better. Trying to start your own business at 18 is a great idea because there is a lot of upside and little downside right now as you have little liabilities/obligations. Good luck!
GREAT FREAKING VIDEO!!!
YAY! Thank you so much for your kind words!
Hi, I live outside the US, can I invest on s&p 500?, how can invest on Index funds with lesser fee?
@@OnCashFlow thanks
Please help me. Ok so I follow the steps and open an S&P500. I put in the minimum money required to start. Now what? I make minimum payments per month on any given day that I choose when discussed woth my broker.. Ok I don't understand how this is making money.
What is the interest rate?
Why do I have to make monthly payments?
How long before I can take my money out?
Can you lose all of your money?
Thanks
1. There is no interest rate. Stocks either appreciate or pay dividends.
2. You don't have to make monthly payments. It just means you are buying more shares of the fund.
3. It depends on what kind of account you are invested in. If it's a regular brokerage account then you can theoretically sell your investments and take the cash at just about any time.
4. Theoretically, the only way to lose your money in the S&P 500 is the United States ceased to exist because that would mean there are not 500 publicly traded large companies operating in the U.S.
I hope this helps, keep learning my friend.
This was very informative thank you! I'd like to ask, if you don't invest more money each month, what happens? So for example I invest 2000$ one time, then I don't invest anymore the next month.
You will still see compound interest, but not nearly as much as if you kept adding to your position. Also, when you keep adding to your position, you are buying shares at different prices, thus averaging out the total cost of your shares. Look up compound interest calculator and play with the numbers to see how little additions can make for huge gains over the long term, especially compared to just one lump sum investment.
@@OnCashFlow thank you!
Nice and clear! Good content. Keep it up. Subbed and will look out for your future content. Adam 👍
Hi Adam, thank you so much for your positive feedback, I'm glad it was helpful!
Hi buddy, which retirement account do you think is best to hold an s&p 500 account if im self employed and looking to invest on a separate high dividend yield fund on a more tax friendly account? You touched on the topic but im not clear on it just yet. Thanks
Well it highly depends on your situation, goals, and how much $ you want to invest. My default personal preference is Roth IRA/Roth 401k if you're in the 12% tax bracket and under. Then Traditional IRA/401k if you are in the 22%+ tax bracket.
If you live in a 0% income tax state then maybe still Roth over traditional even in the 22%/24% bracket. Just a quick thought. Have you seen my Roth vs Traditional video?
ua-cam.com/video/HfdvlcYzdfA/v-deo.html
Thank you, this video is helpful.
Thank you! So glad that I could help!
Thank you for making this video it’s very helpful and informative. I just wanted to verify that I’m doing it correctly, so I found the fidelity s&p 500 index fund that you talked about at 4:55 in the video. I clicked buy on that and what I’m getting at is that on the next page to where it takes you, there’s a dollar amount of $196.54 next to where it says symbol (FXAIX), what does that amount mean?
That should be the price for exactly 1 share of the fund.
Great Video man
Thank you so much
What’s the difference between etf and mutual funds
Mainly how they are traded. I think Investopedia can explain it better than I can:
www.investopedia.com/financial-edge/0612/index-mutual-funds-vs.-index-etfs.aspx
Hello I am new just learning about S&P 500, what is the best app to use for investing? thanks!
The best depends, but I encourage not having an app at all so that you set up regular investments that buy the index, and then practically forget about it. I recommend Vanguard, Fidelity, M1, and/or Schwab.
The best video I have seen
Wow you are too kind! Thank you so much!
I need your help. I'm new in investing I got webull to start my investments but I can't find s&p500 on tjere os but when I cli k on ot it givsme more options to choose from. Isn't s&p supposed to be one choose ND then they diversifi the money to different companies?
You will probably have to find and S&P 500 ETF (exchange traded fund) on that platform. Try looking for VOO ticket symbol (Vanguard S&P 500 index fund ETF) I hope this helps!
Very helpful
Awesome! I'm glad it helped! :)
How to get stock for a vanguard s&p 500 no loan ????
You can deposit cash into your retirement/brokerage account and purchase shares without a loan! :)
I am 20 can I open all three accounts and how much should I start with and should I use wealthfront?
Yes you can open any account that you want to, you're an adult haha. I don't have personal experience with wealth front, but I'm sure it's fine if it is reputable, has low fee index funds, etc.
Great video and explanation. Question: if i allocate 100% to s&p 500 do i have to actively monitor and invest or is it a set it and forget it like target date funds?
Thank you! I would set it and forget it with index fund investing! :)
Helpful!
Thank you! I'm very glad that it was helpful! I hope that you can find some of my other videos just as helpful :)
Great video very informative. I want to get your view on something. Say I want to invest £500 into the S&P 500 but I do not want to do automatic payments every month yet, what would be the best fund on Fidelity to invest that money into?
Probably an ETF version of the S&P 500, I like VOO.
Can I open a Roth IRA, and a separate account that's not for retirement
Yes, you absolutely can. It's simply referred to as a "taxable investment account" or "brokerage account" or "individual investment account" or something similar, but it all means the same thing.
how do i invest 50$ every month (belgium) or should i go for devidend stocks?
Hello! It really depends on your goals, if you want to slowly build up long term wealth then a general recommendation is to invest as much as you can as often as you can into index funds such as the s&p 500, total stock market funds, total international stick funds, total bond funds, etc. I hope this helps point you in the right direction! :)
@@OnCashFlow Thanks!
@@rl4718 no problem!
Very informative! What if my home currency is not dollars! The S&P 500 is all about USD and then I will need to worry about currency exchange, etc. Any other index fun you recommend?
Yes, it's in USD because it is the U.S. stock market. Everything that I would generally invest in would be in USD, and you would have to look into how your own country's investment brokers work.
would this advice apply to a european or are there regulations I would be breaking by participating?
I'm not sure about EU laws, but I'm fairly confident that you can invest in the SP 500 no problem!
I been using the stash app I have the traditional IRA and I’ve invested in single stocks like apple meta etc and also in ended funds like VTI. You think so far I’m doing good ?
I can't really say much about the Stash platform, but having a Traditional IRA is good, you should also open up a Roth IRA and possibly a regular investment account. Keep learning and and slowly adopting great investment concepts into your own strategy slowly over time.
@@OnCashFlow thank u sir
So I should buy monthly the amount that I can afford?
That would be a good strategy, pay yourself first!
how much do you currently hold in shares?
Close to 500k in Total U.S. Stock, give or take
This video is great, lots of knowledge! Quick "stupid" question: would it hurt to use a regular saving account? Or would you generally assume a Roth or 40(1)k works better, or does it matter? I am a novel here so completely clueless, thank you!
A regular savings account cannot invest. You could use a regular taxable brokerage account? Generally speaking I think a retirement account is better for most people as the default option. If you are in a lower tax bracket then generally Roth is better. If you need to avoid high marginal taxes then a traditional might be better.
I am based out of the US, i don't think i can utilize fidelity, based in South Africa
There are many good options, Fidelity is what I was using at the time so that's what I based my example on.
Hey everyone. I'm from Cape Town South Africa. I would like to know if investing in the S&P 500 is still possible? Can you do it from anywhere in the world?
Yes you can! Foreign investors certainly can invest in U.S. companies. How? Well that depends on your own country, but I would guess that it's not too difficult in South Africa.
Can you safely open an account with Fidelity from outside the US? I'm in Japan and got a disclaimer saying I'm accessing from outside the US.
Thanks
You're a U.S. citizen? Yeah they will do that, but if you are a U.S. citizen then no problem. I was stationed in Japan and had my investments at Fidelity and I remember the disclaimer always popping up. Could also use a VPN lol
@@OnCashFlow Thanks! I'm a British citizen living in Japan. But ok, it's just a disclaimer and I can ignore it safely?
@@TheKraftykid In that case, I don't know. Because Fidelity.com is the U.S. service. If they serve The U.K. then it should be okay. Definately read the disclaimer. Maybe they have a .co.uk website?
@@OnCashFlow Thanks so much man!
You should move the camera closer
You are completely right, I have been thinking about this for a while now. thank you for honest feedback I will do this!
So you look for what u like and then u buy? Or how?
You search for an index fund using the ticker symbol: Example: VTI. Then you can buy via the brokerage platform usually the same business day.
@@OnCashFlow aa, thx
@@OnCashFlow i would need an entire video about this whole process :))))
@@srrj9358 Happy to help! I think I am going to make a step-by-step on the M1 Finance platform soon to help out beginners. I use them and recommend them for how simple the layout is: oncashflow.com/resources
Great video, What can I do if Fidelity website is not giving me an NTF option? I'd appreciate the help
All of Fidelity's funds should be no transaction charge, as well as any ETF. Maybe you should try M1 finance? (I relocated all my investments there). I would appreciate it if you checked them out through my affiliate link (even if you don't end up wanting to sign up)
www.oncashflow.com/m1
Can i invest from foreign country in s&p 500? And if i do then i have to pay double taxes right? To US and also to my country?
Yes you can invest in the S&P 500 outside of the U.S. No, I don't believe that you will pay double taxes.
Wow good to know
I'm glad you found it useful!
I'm trying to buy into the index fund but I tried to request an order for the $200 I want to invest but it's confusing
Whatever investing platform you are using, I would look up a tutorial on UA-cam for it.