If you’ve ever wanted to invest in stocks but have been too overwhelmed, you’re not alone. In fact, you’re probably in the majority, especially during this time of economic volatility. Between Trump’s tariffs, rumored recessions and unpredictable government spending, you may think that learning about the stock market isn’t a good investment for your time.
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Fortunately, you don’t need to be a certified genius to start investing, as it can be made easier by following the advice of experts. One of the best is Warren Buffett, and he has some remarkably simple tips for busy people who want to invest but don’t have time to become market experts.
Here are Buffett’s six best pieces of investing advice and some expert takes to help you start your investing journey.
Keep It Simple With Index Funds
According to Buffett, you should “Consistently buy an S&P 500 low-cost index fund.”
As the fifth richest man in the world with an estimated net worth of about $152 billion, he wasn’t just talking — he has put his money where his mouth is time and time again. Buffett has even instructed the trustee of his estate to invest 90% of his wife’s inheritance in these simple index funds, according to a letter to shareholders.
“Warren Buffett’s investment philosophy is underpinned by simplicity, patience and an appreciation for long-term wealth generation via low-cost, diversified assets,” said Thomas J. Brock, chartered financial analyst (CFA), certified public accountant (CPA) and an expert financial reviewer at Annuity.org.
With over 20 years of managing multibillion-dollar portfolios, Brock sees the wisdom in this approach.
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Don’t Try To Time the Market
The market goes up and down, but that shouldn’t be of concern. Buffett advised buying S&P 500 low-cost funds regardless.
“Keep buying it through thick and thin, and especially through thin,” Buffett said.
Always think rationally and avoid emotional decision-making, especially if the market is volatile. Just stay the course and know your investments are growing over time.
Watch Those Fees
Think paying 1% in fees isn’t much? Think again!
“Costs really matter in investments,” Buffett has said. “If returns are going to be 7% or 8% and you’re paying 1% for fees, that makes an enormous difference in how much money you’re going to have in retirement.”
Start Now
At a Berkshire Hathaway annual meeting, Buffett shared this gem: “Start young… we started building this little snowball on top of a very long hill… The trick is to have a very long hill, which means either starting very young or living to be very old.”
Brock added, “For novice investors, Buffett’s most straightforward advice is to begin investing as early as possible, and do so via low-cost index funds that give you broad-based exposure to domestic and international stock markets.”
Forget Stock Picking
Think you can beat the market by picking hot stocks? Buffett disagrees.
“The trick is not to pick the right company, the trick is to essentially buy all the big companies through the S&P 500 and to do it consistently,” he said.
Stay Strong When Others Panic
“Be fearful when others are greedy and greedy when others are fearful,” Buffett said in a letter to shareholders.
This simple philosophy has guided Buffett through countless market ups and downs.
You don’t need to be a market whiz to invest successfully. As both Buffett and Brock suggest, consistent investment in low-cost index funds, combined with patience and emotional discipline, can be your ticket to long-term wealth building.
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No Time To Learn About Stocks? Follow Warren Buffett’s 6 Top Tips Instead
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