How To Start In Value Investing (Children's Edition)


1 – Have your children get a job. Preferably self-employed. Two of my children are running a garbage route. I am guessing that they will have stories and a work ethic that far exceeds their peers.

2 – Teach your children to invest their money and the value of a dollar saved. My youngest child has $6000 from money invested from collecting aluminum cans. He is 10 years old and it is in a Roth IRA (all of the money was “free” money from money people leave on the street for us).

3 – Teach them about the value of investing and tax free growth. Use the story about the “King of Silver Dollars.” At $8.5 million, the compound rate of return is about 8%. At 10% it would be in excess of $250 million dollars. I tell the kids that the difference is the cost of fee based asset management, which runs usually at one or two percent per year.

4 – Let your children know that if they do the right things, they will be successful. It is a law that has been explained to us in “The Strangest Secret” by Earl Nightingale.

Print Friendly, PDF & Email

LEAVE A COMMENT


Subscribe to our mailing list

* indicates required

Opt out of occasional 3rd party offers


Congrats! We have a limited time offer for loyal readers like yourself.

Sign up today and get three months free if you select yearly subscription

Use coupon code 3monthsfreeconfidential at checkout

Limited time offer only expires 3/31/2019 or next 30 subscribers whichever comes first – please do not share this discount with others