More Episodes
Money 101 · Episode 4
This is the video Mike wished existed when he was 25. Five steps. One afternoon. A system that runs itself forever after.
Watch directly here or on YouTube
Not financial advice. This article is for educational and informational purposes only. I am not a financial advisor. Nothing here should be considered a recommendation to buy or sell any investment. Always do your own research and consult a qualified financial advisor before making any investment decisions.
Look... the perfect moment to start investing never arrives. There is always a reason to wait — the market is too high, the market is too low, you do not know enough yet, you do not have enough money. This guide removes every excuse. Five steps. One afternoon. A system that runs itself forever after.
It is not lack of money. It is not lack of information. The real barrier is the feeling that you need to know more before you begin. That feeling never goes away on its own. The only way past it is to start — imperfectly — and learn as you go.
"This is the video I wished existed when I was 25. Five steps. One afternoon. A system that runs itself forever after."
You do not need thousands. Even €25 or $25 per month invested consistently for 30 years produces significant wealth. The amount matters far less than the habit.
Europe: Trade Republic, DEGIRO, Scalable Capital. UK: Vanguard UK, Freetrade, HL. US: Fidelity, Vanguard, Charles Schwab. Australia: Stake, CommSec. Most take 10-15 minutes to open.
For many beginners, a single global index ETF is the simplest starting point. One fund, thousands of companies, the entire world economy. VWCE in Europe, VOO or VT in the US, VDHG in Australia are widely discussed examples.
Set up a monthly automatic investment — same amount, same date, every month. You invest regardless of market conditions. This is dollar-cost averaging and it removes emotion from investing entirely.
The hardest step and the most important. Do not check daily. Do not sell when markets fall. Do not time the market. Set it up, check quarterly, and let compound interest do its job.
Look... with most modern brokers you can start investing with as little as €1 or $1. The barrier is not money. The barrier is starting. Here is what €100 per month at 7% annual return looks like starting at age 25: at 35 you have €17,400. At 45 you have €52,000. At 55 you have €121,000. At 65 you have €263,000. From €3.30 per day.
When is the best time to make your first investment?
The best time was 10 years ago. The second best time is today. Every month you delay costs more than you think. Do not wait for the market to be right. Start now and adjust as you learn.
Should I invest a lump sum or monthly?
Both approaches have merit. Monthly investing builds the habit and smooths out volatility. A lump sum invested immediately has historically outperformed DCA in rising markets. The most important thing is to start.
How to invest with little money?
Many modern brokers allow fractional investing from as little as €1. The amount is not what matters — the consistency is. €25 per month started at 25 beats €200 per month started at 40 in many scenarios thanks to compound interest.
What is the safest first investment?
There is no investment without risk. However, a globally diversified low-cost index ETF is widely considered one of the lower-risk options for long-term investing due to its broad diversification across thousands of companies. Always research before committing.