Imagine stepping into the sophisticated world of financial investing with guidance from a distinguished business owner and Member of the Board to a savvy Co-founder & CEO. This article entertains various viewpoints from top financial experts who emphasize practical advice without the hype. From avoiding social media influencers to prioritizing sustainable growth, their insights offer a balanced approach to financial success. Discover eight unique perspectives that may reshape your investing strategies for the better.
- Avoid Trusting Social Media Influencers
- Set Clear Financial Goals First
- Start Investing Immediately
- Verify Financial Data Personally
- Practice Patience in Investing
- Keep Your Investments Simple
- Invest in What You Understand
- Prioritize Sustainable Growth
Avoid Trusting Social Media Influencers
The best advice I would give to any new investor is fairly simple: Please do NOT make investment decisions based on influencers, bloggers, friends, relatives, or colleagues. It’s a piece of old-age advice, but unfortunately, it tends to slip through the cracks these days, especially due to social media.
“Finfluencers” on TikTok and Instagram may sound legitimate, but it’s almost frightening how millions of people follow the advice of these finfluencers based on half-truths. Misinformation or even downright lies are often spread even by influencers with huge followings or seemingly strong financial backgrounds. What’s worse, many of them display manipulated data that may feel solid to an untrained eye. Sadly, I’ve seen huge implosions that have resulted from hundreds of people following the advice of prominent finfluencers just because of their influence.
Often, beginner investors may not even do their own due diligence since they trust the opinions and advice published by finfluencers. Please, always do your own research and analysis—do not trust any information found on social media, and only base your decisions on verified, reliable sources and publications.
Marcus Keller
Owner and Member of the Board, B&N Kapital OÜ
Set Clear Financial Goals First
For new investors, my crucial piece of advice is to set clear financial goals before you start investing. Understanding what you want to achieve—saving for retirement, buying a home, or funding education—will guide your investment decisions and help you stay focused. This clarity allows you to determine your risk tolerance and the types of investments that align with your objectives.
Developing this skill involves taking the time to assess your financial situation and envision your future needs. You can start by writing down specific goals, including timelines and amounts needed. This practice not only motivates you but also helps you craft a tailored investment strategy.
As you embark on your investing journey, remember that investing is a long-term endeavor. Avoid trying to time the market and focus on consistent contributions toward your goals. By maintaining a disciplined approach and regularly reviewing your progress, you’ll be better equipped to navigate the complexities of investing and achieve financial success over time.
Abid Salahi
Co-Founder & CEO, FinlyWealth
Start Investing Immediately
Look, if you want my honest advice as someone who’s been in finance for years, it’s dead simple: Start investing now. Today.
Seriously, the sooner you start, the better off you’ll be. It’s not rocket science—it’s all about giving your money time to grow.
On average, the S&P 500 has returned about 10.5% per year. That’s pretty damn good. And thanks to compound interest, your money can double roughly every 7 years at that rate.
Start at 25, putting in $5,000 a year until you’re 65? You could end up with about $1.6 million.
Wait until you’re 35 to start? You’re looking at around $620,000.
Don’t overthink it. Just start. Even if it’s only a little bit of money at first. The important thing is to get in the game and let time do its thing.
Markus Kraus
Founder, Trading Verstehen
Verify Financial Data Personally
Run the numbers yourself. The financial industry struggles with data integrity, and I’ve found plenty of errors in stock screeners, financial-data services, and spreadsheet templates. Some issues require careful judgment, such as excluding non-recurring or special items from earnings. Accounting isn’t always black and white, despite best intentions.
By personally verifying the data and calculations, you can avoid making investment decisions based on faulty information. This approach is a lot of work, but can significantly improve your performance over time. Always check primary sources like SEC filings and cross-reference data from multiple reliable sources.
As you develop your skills, learn to read financial statements thoroughly and create your own analysis tools. Remember that the results from your decisions depend on the accuracy of your data and the quality of your analysis.
Asher Rogovy
Chief Investment Officer, Magnifina
Practice Patience in Investing
As an experienced financial advisor and current General Counsel and Head of Finance, my most pivotal advice to new investors would be: patience is paramount. It’s essential to remember that investing is not about instant gratification, but rather, it’s a journey of steady growth and resilience.
In my tenure at Wells Fargo Advisors LLC, I often emphasized the triple “A’s” of investing: Awareness, Allocation, and Adjustment. First, gaining awareness of market trends and your financial well-being is crucial. Second, correct asset allocation based on your investment goals and risk tolerance can significantly drive returns.
Finally, adjusting your portfolio and strategy in response to market changes and personal life stages is a critical aspect often overlooked. Competing in a volatile market is less about capturing every opportunity and more about patience for the right opportunity—the ones best suited to your financial goals and risk profile.
Jonathan Feniak
General Counsel, LLC Attorney
Keep Your Investments Simple
If I had to give one piece of advice to new investors, it would be to keep it simple. The investing world can feel overwhelming with its endless options and complexity, but simplicity is what will help you stay consistent over time. By focusing on straightforward investments, like ETFs, you can save yourself the headache of constantly researching individual stocks. This approach not only saves time but also reduces the chances of making emotional or impulsive decisions.
Remember, the key to success isn’t about timing the market perfectly—it’s about time in the market. The longer you stay invested, the more opportunities your money has to grow, thanks to the power of compounding growth. So, stick with a simple strategy, automate your investments, and let your money work for you over the long term.
Steven Buchko
Co-Founder & CEO, Steve
Invest in What You Understand
The one piece of advice I’d give to new investors is to invest in what you truly understand. When I started Premier Staff with just $4,000, I focused on the luxury-event-staffing industry—a field I knew intimately from years of experience. This deep understanding allowed me to identify unique opportunities and navigate challenges that might have derailed someone without insider knowledge.
For instance, when we decided to invest heavily in AI-driven staffing technology, it was because we understood the specific pain points in our industry that this technology could address. This targeted investment paid off tremendously, increasing our operational efficiency by 40% and setting us apart in a competitive market.
By investing in an area where you have expertise, you’re better equipped to assess risks, spot opportunities others might miss, and make informed decisions during market fluctuations. This approach has been the cornerstone of our growth from a small startup to a million-dollar-revenue business in the luxury event sector.
Daniel Meursing
Founder/CEO/CFO, Premier Staff
Prioritize Sustainable Growth
My top advice for new investors is prioritizing sustainable growth over chasing quick, short-term profits. It’s easy to get swept up in the stock market’s daily ups-and-downs, but successful investing relies on patience and a strategic approach.
By setting clear financial goals and maintaining a diversified portfolio, you can better navigate market volatility and take advantage of the power of compound interest over time. Don’t make knee-jerk decisions based on market hype or fear; stay committed to your investment plan.
Kristin Marquet
Founder, Tech/Analytics/PR Expert, Academic Finance Background, Marquet Media
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Greg Grzesiak is an Entrepreneur-In-Residence and Columnist at Grit Daily. As CEO of Grzesiak Growth LLC, Greg dedicates his time to helping CEOs influencers and entrepreneurs make the appearances that will grow their following in their reach globally. Over the years he has built strong partnerships with high profile educators and influencers in Youtube and traditional finance space. Greg is a University of Florida graduate with years of experience in marketing and journalism.