The Biggest Lie of Investing For the Next Generation (URGENT)
Old people love to lecture ‘just put your money into index funds and you’ll be able retire early and happy!’
This advice was amazing for the past 50 years because we literally went through the LARGEST boom in all of human history...
Population grew from 1B —> 7B, obviously companies in an index make more money, to have higher valuations and thus higher stock prices.
So they’re advice would be sound assuming we have a similar environment going forward…
But the next 50 years ain't looking so pretty, and it's going to cause some major negative feedback loops that WON'T be keeping stocks in 'only up' price discovery mode.
Japan is the best example of what is yet to come in terms of passive index fund investing performance.
There are absolutely sectors with money to be made where you just buy and hold. There will also be a lot of money in actively managed investment funds.
But stay FAR AWAY from passive funds, expecting to make an easy 10% per year after inflation to fund your retirement.
Full breakdown in my latest vid is a MUST watch: