The good investing is really about 90% mentally and emotionally preparing yourself to see a huge amount of wealth disappear in a short period of time. If you invest for any amount of time, you can be a hundred % sure that you will face a severe stock market crash. However, as long as the underlying businesses that make up those industries cover and eventually go on to produce record profits, which has happened every single time this has happened,. you can be sure that stock prices will eventually recover fom their loads and eventually going on to make new hies.
#369: To answer these questions, we need a deep, tree-trunk understanding – a core, fundamental understanding – of how the stock market operates.
What, exactly, IS a stock – and how are stocks valued? What’s the difference between the Dow Jones, the S&P 500, and the Nasdaq? Why is the market a voting machine in the short-term, but a weighing machine in the long-term?
Brian Feroldi, the author of “Why Does the Stock Market Go Up?,” joins us for a Stocks 101 explainer episode.
If you’d like a deeper understanding of the world of stocks, you’ll enjoy this explainer episode.
And if you have a friend/spouse/coworker who’s said, “I need to learn more about investing,” share this episode with them.
Enjoy!
For more information, visit the show notes at https://affordanything.com/episode369
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