what is up everyone I'm rose and welcome back to my channel in this video I'm
gonna tell you my top 10 do's and don'ts for the investing app Elvis it's time to
get smart with your money so if you're interested in trying out Elvis or if
you're already using it then keep watching before we get started I'd love
for you to subscribe my channel is all about stock investing for beginners and
it's my mission to empower everyday people just like you especially women to
win at investing so make sure to subscribe and hit the notification bell
for new videos like this every week what I love about Elvis is that it's 100%
women run and women backed I stumbled upon this gif on Instagram and it
perfectly captures how I feel about female owned businesses I know it's
hilarious but all jokes aside these are my top ten
do's and don'ts when using this app I'm gonna jump right in with the first do do
understand what you're investing in when you don't understand what the hell your
money is invested in you're never gonna feel completely secure so financial
security is a mindset it's a mindset of financial confidence and that confidence
only comes from understanding your money and from knowing that no matter what the
economy does you'll know what to do and how to rise above it because Elvis is a
robo-advisor you're basically outsourcing investing
services so you don't have to understand what they're doing but it's not a good
feeling to just blindly deposit your money somewhere and hope that it turns
out well in this video I go into depth about how Elvis invests your money I
don't want to repeat myself too much today in this video but basically when
you invest with Elvis there algorithm creates a portfolio for you of stock
funds and bond funds and the percentage of stock funds versus bond funds as well
as which specific funds go into the portfolio are all statistically proven
to help you achieve your financial goals for example I have a goal to buy a house
for my parents in six years Elvis crunch a lot of numbers and
decided on a portfolio with thirty six thirty six percent stock exposure and
sixty four percent bond exposure and these are the specific funds they used
based on historical data this gives me a 70 percent chance of having a hundred
and nineteen thousand dollars or more to buy the house in six years those are
pretty good odds worst-case scenario I have a little bit
send the cash I deposited best-case-scenario I have way more money
than I could have ever saved on my own because stock market gains did most of
the heavy lifting for me so Elvis invests your money so that the downside
of your investing risk isn't terrible but the upside can be very powerful
that's why it's worth investing again check out this video because I take you
on a tour of my account and I explain how all of this works next is one of my
don'ts don't invest emotionally let's be really clear about this one fact the
stock market creates wealth a lot of it the only reason people get burned is
because they invest with their emotions versus with logic here's what I mean
when the market is going up like this the average uninformed person gets
excited about the prospect of making money so they buy here problem is
they're late to the Train because most things after going up for a while go
back down so when the market drops they get scared and then they sell at a loss
buying on greed selling on fear this is how most people do it when you invest
with Elvis your money immediately gets put into a portfolio that looks like
this and some of that portfolio is gonna be in some pretty volatile markets
emerging markets like Brazil India China South Africa these markets are high
growth high volatility so there might be a day when you log into your account and
see that your portfolio is down 10% 20% during the 2008 recession it was even
more than that so naturally you'll feel scared but you have to stay the course
Elvis invests your money in portfolios that are statistically proven to get you
results so stick with the plan and don't flip-flop when the market is going
through a rough time so if you ever feel scared I suggest you wait at least 24
hours before you sell or withdraw your investments this will force you to think
through your decision before you do it so you're less likely to do anything
that you'll regret later this is a perfect segue into my next do do have
cash reserves it's much easier to stay rational about your investments when you
have cash reserves cash reserves to pay rent next month cash reserves to cover
emergencies cash reserves that enable you to be a little more detached from
the day-to-day move of your Elvis account balance not only
that but if something horrible happens like you get laid off from your job you
get injured or whatever you won't have to sell your investments at fire sale
prices just to cover your living expenses because if your timing is
unlucky it could be a really bad time to sell in the market say right after a
downturn and if you sell then you won't be invested anymore to make your money
back when the market recovers a good rule of thumb is to start with a $1,000
emergency fund and then work up to an emergency fund that could cover three to
six months of living expenses just make sure you have enough cash on hand so
that you won't have to dip into your investments when there's an emergency
and now for tip number four don't save for other things until you have
something for retirement when you open an account at Elvis the first thing they
ask you is what goals you're investing for you can add up to five goals and
it's tempting to just add all the things keep in mind to always prioritize
retirement why because you won't be working in your old age so you need to
have investments to live off of all the other non retirement goals like buying a
house starting your own business you have your best earnings ahead of you in
your 30s 40s and 50s so you're gonna find a way to pay for those things
eventually when you're retired you won't be bringing in a salary so it's really
important to have a nest egg for that plus there's just nothing cute about
being a bad lady it just ain't cute moving right along to
my next that do do choose the impact portfolio Elvis knows that women like
you want to invest into things that you believe in when you start investing at
Elvis you have a choice between two portfolios the core portfolio and the
impact portfolio one of the funds in the impact portfolio is the PAC's elevate
global women's leadership fund this fund invests in women lead companies and its
mission is to help close the gender gap by investing in companies that value
women's leadership another fund in the impacts portfolio is ESG D which
contains only companies that meet high environmental and social standards so
the eldest impact portfolio helps you build wealth while also making sure that
your investment dollars are supporting companies that make the world a better
place next time you're out of gold to your L vest account you can simply
toggle over to the impact portfolio option as you can see
the estimated gains are pretty similar for both options so socially responsible
investing doesn't mean you have to give up good investment returns now for my
next don't don't try to invest for too many goals at once you don't want to
dilute your efforts by working towards a million different goals at once okay not
a million but LS lets you add up to five goals start with one or two of the most
important and put all your extra money towards those one or two goals for
example if you have two hundred dollars extra every month to save and invest
then either put all of that towards your retirement goal or put a hundred into
retirement and the other hundred into a different goal but if you have five
different goals you only have forty dollars to put towards each and it's
gonna take you ages to achieve any of those five goals it's much more
motivating to make meaningful progress towards one big goal rather than making
really slow progress at multiple goals because if everything is important
nothing is important this next one is a do do get your friends involved alves
offers a super sweet referral bonus when you refer a friend when they join
through your referral link you get a twenty dollar credit to your investment
account and they get twenty dollars as well everything is more fun when you're
doing it with your friends it's also not as scary because you know you're not in
it alone our society has such a hush-hush attitude around money talk so
telling your friends about how you're investing for your future and getting
them to join you will help heal the social taboos around money not to
mention it will help your friends secure a better financial future for themselves
too moving right along to the next tip don't put in all your money at once you
know how when you're about to go swimming in a really cold pool it's
easier to just dip your toes into the water and then ease yourself into it as
your body gets used to the cold well it's the same thing with investing
investing all your life savings into your Elvis account at once would be like
jumping into an ice-cold pool some people are into that or whatever but I
prefer to ease into it it's a very different feeling to have money in the
stock market versus money in a bank account
money in the stock market goes through short-term fluctuations it's a different
feeling but you get used to it I used to be scared too but now I have tens of
thousands of dollars in the stock market and even if it's going up and down
thousands of dollars on any given day I don't worry because I know that in the
long run it's headed in the right direction which is up so if you have
let's say five thousand dollars to invest start by putting in a hundred
dollars or whatever you're comfortable with
get used to that feeling and then gradually add more every week until the
full five thousand dollars is invested start small and ramp up later and now
for the next doo doo automate your contributions Elvis lets you set up
recurring deposit quarterly monthly and bi-weekly so set it up so that a fixed
dollar amount comes out of every paycheck and schedule it for one to two
business days after your paycheck lands in your checking account with every
recurring deposit Elvis automatically invests that money into more stocks and
bonds so that there's no downtime with your cash and your money is always
working for you what's even cooler is that even if all you can manage is a
recurring contribution of ten dollars a month
Elvis can buy fractional shares of the funds so that you can still maintain a
well balanced investment portfolio with every new deposit the key is to automate
it so that the money leaves your checking account without you even
noticing it it really adds up last but not least here's my final tip don't wait
to invest the longer you wait the more investment gains you're missing out on
time is money literally a thirty year old who starts investing today can be a
millionaire at age 70 by investing just two hundred dollars a month but if the
same person waits until they're 40 to start investing
they'll have to invest five hundred twenty-five dollars a month in order to
be a millionaire at age 70 what this means is that the person who
waits 10 years has to contribute two times as much of their own money to
achieve the same financial result so when it comes to investing the power of
compounding returns over time is truly one of the most amazing things you can
do for yourself my final thoughts I get it investing can be intimidating but
Elvis is a great app and if you use it intentionally and you stay mindful of
the do's and don't that I covered in this video you'll get
great results the key is to set your goals invest regularly and keep your eye
on the prize don't invest with your emotions get your friends involved
automate those deposits and get yo money did you like this video if so then
please give it a thumbs up and if you have any questions at all about what I
talked about feel free to ask me in the comments below or DM me on instagram at
investing with rose to learn more about money and investing make sure you also
check out these two videos right here and if you're new to the channel I'd
really love it if you subscribed always remember to go after your dreams
unapologetically and to live life on your terms Cheers