How We Invest in the Stock Market

We had a lot of people ask how we invest our money for early retirement. Here's an overview of how exactly how we invest our money in the stock market. -We buy vanguard index funds (www.vanguard.com). -We make regular investments every month. -We don't panic when stock prices fall. -We diversify with international funds and local rental properties. If you're interested in learning more, Jim from jlcollinsnh.com has a great series on his website about investing: http://jlcollinsnh.com/stock-series/ For more information about index investing, read A Random Walk Down Wall Street, by Burton Malkiel. Disclaimer: We are not licensed or certified to give financial advice, this is just what we do with our own money. We have no affiliation with Vanguard or any other products or services mentioned. Sign up for monthly income, expenses, and net worth reports! http://newsletter.mikeandlauren.com Check out our blog: http://www.mikeandlauren.com Follow us: http://twitter.com/mikeandlauren You pick our next video! http://mikeandlauren.com/vote

Comments

1. Most realistic advice on investing I've seen on the Internet. Great video.
2. your right people freak out when the market goes down but If you think about it is is actually good because when it goes down you can buy at a much cheaper price It is like way they say "when they go low you go high" and buying when the market is down is what Warren Buffett does I have been using this method for 3 years I have been investing sense I was 13 and I am 16 now and have made about $100,000 using this method
3. Great advice on how to handle market downturns. Most savers shoot themselves in the foot by panicking and selling investments when they are down. Bad decision! If you're saving for the long term, you should be able to ride thru short term losses because the stock market always bounces back eventually. Also, as stated in the vid, savers should keep buying shares throughout market downturns to reduce their average share price. It's called dollar cost averaging and is a great way to increase future returns. The only thing you're doing that I disagree with is putting all of your savings into a single fund. Total stock market funds are a great option for investors that don't have the expertise to pick a good suite of diverse funds, but you seem to be more savvy than most so why not diversify? I also use Vanguard for my Roth IRA because of their low fees, but they offer many low cost index fund options (large cap, mid cap, small cap, growth, value, sector, etc). Diversifying your portfolio could dramatically improve your returns, especially since you have a higher risk tolerance than most. I invest in 6 different Vanguard index funds, covering most of the US market as well as about 10% exposure in foreign markets. Diversification really is required to produce above average returns over time. I've averaged 10% over the last 10 yrs, while the Vanguard total stock market fund (large cap stocks only) has averaged 7.4%. That's a great return, to be sure, but you can do better given your willingness to tolerate risk.
4. I dunno if you guys see comments on these old vids, but good on you guys for being open about your finances. I think it's very helpful to show the simple nuts and bolts involved.
5. I'm 19 and do the same
6. @MikeAndLauren
   Helllllooo mike and lauren. I have a question for you. Investing in an ira and not reinvesting the divdends is how you get paid right? I was wondering is there a penalty for taking the dividends out
7. It's funny because they are both broke. No roast intended.
8. Hi, I'm in Australia and want to invest in vanguard too. You both are very inept and my wife and I want to do something similar. (1) I was told by vanguard to invest in the VTS which closely resembles the VTSMX. is this something you would do? why? (2) How do you Calculate how much you should be regularly investing ?
   Thank you!
9. Let's see how long you going to stay married for... Deluded blindfolded people mixing their moneys as if they are 1 person no u two people not one...
10. Such a con. Rubbish rates of pay too but it’s all a lure to get people in and then pay you poorly for your time.
11. :57 hahahahahahhahahahahahhahaha
12. great video
13. Hi a homeless man under a bridge told me boiled denim is the next big thing. He wants a $5000 investment and he will boil all the denim. Should I invest? He promises a 500% ROI.
14. Do you think crypto is a secure place to keep dollars to safeguard it from the financial uncertainty
15. I see who edits the videos haha
16. Omg I love you guys and good luck on your financial goals. Step by step. Proud to be a subscriber. 💪🏼👍🏻
17. I’ve carefully reviewed all the apps in the market and none of them comes even closer to this >>> https://t.co/en6WYiVZWq in terms of effectiveness because it has this amazing algorithm that adapts according to the situation.
18. There was one thing unclear. Do you invest $ into the top 500 companies as well, in addition to your ROTH IRA accounts? Or are your early retirement taxable accounts also in index funds? You mentioned that Warren Buffet suggests investing 10% in government bonds and the rest in the top 500 companies. But I couldn't follow where that advice played out in your investment strategy. Thanks!
19. You both are relationship goals lol