The first real financial advice I remember getting after high school wasn’t an exciting stock recommendation or a smart method to consistently outperform the S&P 500. It was extremely straightforward. In fact, its basic nature made it impossible to overlook.
When I secured my first real job after college, I established a company-sponsored retirement account, contributed to it, set up automatic annual increases, and then completely ignored it — resulting in a seven-figure IRA by the time I reach retirement age, assuming the markets behave reasonably.
That’s not bragging. That’s mathematics. That’s the subtle elegance of compounding and time — and of my unawareness that I could have withdrawn from the account during a challenging period in 2008.
But this is also the aspect that often gets overlooked in discussions about money: People typically don’t face issues because they don’t care about their financial situation. In fact, younger investors are beginning to enter the market at earlier ages than ever before. One in three 25-year-olds had already started investing by 2024, which is six times the rate among individuals of that age group who had done so in the 2010s, according toJPMorgan Chase dataThat same study indicates that overall investment activity—starting with the process of moving funds from checking accounts to brokerage accounts—is at its highest level since the pandemic, when people had extra time and received stimulus payments—plus message-board hype) driven by parabolic spikes in stocks like video game retailer GameStop and movie theater chain AMC Entertainment
New investors are frequently influenced by social media, where bold claims travel quicker than factual details.according to surveysfrom the Financial Industry Regulatory Authority, Wall Street’s self-regulatory body.
Individuals often find themselves in difficult situations because they are surrounded by distractions; guidance that seems persuasive until it begins to affect their actual finances; and, indeed, falsehoods. The unexciting yet practical principles of making money, saving it, and increasing it are overlooked.
The guidance I was given to start my 401(k) on the first day of my first job is one of those pieces of advice that seemed unimpressive at the time, but proved to be much more valuable with time.
That’s exactly why we’re introducing Don’t Short Yourself, a weekly newsletter designed to connect with people at the right time, without using hype, technical terms, or long speeches, but instead with data, understanding, and expert insight.
Sign up for Don’t Short Yourself at no cost hereto get it every week — starting on January 27. Andhere’s a sneak peekwhat will the new newsletter look like?
For almost thirty years, it has focused on assisting individuals in grasping how markets influence their finances.
Each week in Don’t Short YourselfWe’ll focus on a few significant financial opportunities that truly matter, dispel the myths and buzz circulating on social media, and provide straightforward, practical advice on what to do, what to steer clear of, and what isn’t worth worrying about.
This is not about making you the nextWarren Buffett. It focuses on assisting you in avoiding foolish, costly financial errors. It’s about developing routines that steadily grow over time as you go about your daily activities… resting, practicing yoga, working hard.
Because the greatest financial advantage most people will ever have isn’t the financialsavvy of Morgan Houselor the reach and impact of Jimmy Donaldson,aka MrBeast.
It’s beginning early, maintaining dedication, and possessing the self-discipline to step aside from oneself.
So, you come with the questions, curiosity, and enthusiasm each week, and we’ll strive to ensure you don’t hold yourself back.