Buying and holding strong stocks over the long term really can be a great way to build your wealth over the long term. Here are a few reasons why millionaires and billionaires consider investing into the stock market for the long term really can be a great idea do lead to a lot of extra profits.
1. Fantastic History
Investing into the stock market has historically been a great way to invest money. In fact stocks have historically appreciated at a faster rate then every other major asset class out there in the long run. And if you do your homework and get into strong stocks you can do even better.
2. Extra Dividends
One other nice thing about the stock market is that some companies offer stocks that pay dividends. These are basically stocks which pay you a small amount of money consistently over time. This means you can make some extra money in addition to the appreciation of the stock.
Of course this is typically a small percentage of the price of the stock. So if you plan on making a living this way you would need to invest a lot of money into the market.
3. Doesn't Take A Lot to Maintain
Another advantage of investing into strong companies that you believe in is that it is requires no maintenance once you have already bought the stock. If the company is strong and will keep growing then you can simply invest your money with them and then move onto something else.
Other ways of investing money require you to be a lot more active. For instance if you are daytrading it requires you to be at your computer every single day. If you are a landlord it requires you to deal with any problems caused by your tenet.
Investing into the stock market can be a great way to quietly build your wealth on the side. This gives you more time to increase your income from your job and business and may actually be more powerful then constantly monitoring your investments as a result.
1. Fantastic History
Investing into the stock market has historically been a great way to invest money. In fact stocks have historically appreciated at a faster rate then every other major asset class out there in the long run. And if you do your homework and get into strong stocks you can do even better.
2. Extra Dividends
One other nice thing about the stock market is that some companies offer stocks that pay dividends. These are basically stocks which pay you a small amount of money consistently over time. This means you can make some extra money in addition to the appreciation of the stock.
Of course this is typically a small percentage of the price of the stock. So if you plan on making a living this way you would need to invest a lot of money into the market.
3. Doesn't Take A Lot to Maintain
Another advantage of investing into strong companies that you believe in is that it is requires no maintenance once you have already bought the stock. If the company is strong and will keep growing then you can simply invest your money with them and then move onto something else.
Other ways of investing money require you to be a lot more active. For instance if you are daytrading it requires you to be at your computer every single day. If you are a landlord it requires you to deal with any problems caused by your tenet.
Investing into the stock market can be a great way to quietly build your wealth on the side. This gives you more time to increase your income from your job and business and may actually be more powerful then constantly monitoring your investments as a result.
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