Slow and Steady is a Must

Smart investors realize that you first have to pick a good company and I have several choices on how to pick bargains and stocks that will be lasting investments. Secondly and just as important you have to wait and hold on to the stocks you picked. Investing is rarely a win for investors with day trading, those people do that for a living and many lose lots of money but make the brokerage houses very wealthy. As the savvy investor you want to become take note that the huge returns from investing might not appear for 20-30 years. After that period of slow and steady investing all of a sudden you will say I made great investments, they have huge returns and I am making money for my retirement over what i could expect. Third it is also a good strategy for us investors to put in a set amount each month to the investments. This way it increases the pot that will grow and earn money. 

If you start with $10,000 in the nest egg and add $1500 each month for 30 years you will put in a total of $550,000 which is a great start to retirement. It gets better though, with interest earned at a reasonable 6% rate compounded monthly you would have $1 million in interest earned. That doubled the money the saver put in and the saver still has the original investment. That is a great way to have a nest egg. It might have taken a long time to build that up but its well worth it in the end and it's not unreasonable to save $1500 a month for someone making $50000-60000. Each dollar added increases the amount earned and it would be even better to save $2000-3000 a month.

Many of the great investors see the stock market as it is a generator of wealth but it can only do that function if it is allowed the time to work and transform the lowly investment into a fortune. As the young generation right now we can start saving and putting our money in wise places to build the wealth we will need and want for our future. Money just sitting idly because of being afraid for it will not return to what we need, it will lose money and won't be able to cover expenses or the things we would like to purchase. Let's be smart savers and place money in the proper place to work for us and not us working for the money.