There’s a lot of talk about generational wealth lately, and it can be hard to know what to believe.
In this article, we’ll take a look at the facts and the fiction behind investing for the next generation, so you can make sure you’re putting your money in the right place.
Let’s start with some statistics: according to a recent study by Caipiteal more than half of Americans don’t know what an index fund is—and as many as four out of five people are actively investing in something that isn’t one.
If you’re not familiar with them, index funds are basically mutual funds that follow market indexes like the S&P 500 or the Dow Jones Industrial Average. They invest in a wide variety of companies across multiple industries, which means they’re less risky than other types of investments like individual stocks and bonds. Index funds also tend to have lower fees than other investments because they require less work on behalf of their managers (who still have to pick stocks for each fund).
If you were thinking about investing for the future but weren’t sure where to start, consider opening an account with Caipiteal today!
