As someone who is not a professional investor, my basic strategy is “Buy & Hold.” This is one of the strategies that many individual investors follow. The reason is simple: U.S. stocks, including the S&P 500, have historically risen over the long term. I invest index funds into stocks and simply hold them. For 5 years, 10 years, 20 years—potentially for a lifetime. Whether the investment is in index funds or high-dividend stocks, the approach remains the same. Repeat. Invest index funds into stocks and hold them. That’s all there. The time required for this process is less than an hour per month. For an ordinary person to steadily build…

This is a matter of course. However, for those who have just started investing, it is difficult to accept. After all, no one wants to see losses. And no one knows for sure if the recovery will actually happen. That’s why investors feel anxious. I believe there are only two solutions. The first is to remind yourself that investing can bring you happiness by reviewing past performance and studying. The second is to get used to declines through experience. Therefore, the only thing you can do now is to review the past performance that I will show you from here on. Finally, I want to say that you are not…

If you’re going to invest, I think $500 a month is a good amount. This is because it’s an amount that allows you to feel the returns of your investment without significantly straining your daily living expenses. Although it may differ from country to country, nowadays, you can invest in stocks with just a few dollars. However, investing a small amount means that the returns will also be small. As I mentioned in a previous article, the average return of the S&P 500 in the US over the past 30 years is +7.89%. If you consider getting $40 without doing anything, isn’t that enough? If you continue investing $500 for…

Some people say, “I am not investing.” That is a misconception. The moment you own assets, you are investing in something. Let’s say you have deposited $1,000 in cash. If the interest rate is 1%, your cash will grow by 1%. If the inflation rate is 2%, prices will become 2% more expensive. As a result, you will no longer be able to buy the goods you could with $1,000. Moreover, since the Federal Reserve aims for a 2% inflation rate, it is wise to assume that prices will generally rise by 2%. reference: Why does the Federal Reserve aim for inflation of 2 percent over the longer run? In…

Understanding the reality of capitalism will enable you to develop asset management strategies. Capitalism can be summarized as follows: In other words, to be freed from being a worker, you have two options: become an entrepreneur or an investor. If you have ideas to improve society or the enthusiasm to motivate others, you might become an entrepreneur. One of the reasons I started this blog is to improve society. My knowledge and experience might help someone. However, I don’t have the enthusiasm to establish a company and hire people. Thus, I concluded that I couldn’t become an entrepreneur. Becoming an investor doesn’t require ideas. You can start with as little…

One of the persistent issues throughout life is money. It is an unavoidable fact that we need money to live. However, when I was in elementary and junior high school, there were no classes about money. In other words, financial education was not included in the compulsory education curriculum. As an adult, it seems to me that financial education is important enough to be included in compulsory education. The reasons are as follows: Before I studied money, I was worried about the future. I wasn’t extremely anxious, but it felt like there was a haze over it. It’s precisely because I couldn’t see it that I was worried. Now, I’m…