More investors getting back into the stock market


For the last 5 years, those who had historically invested were terrified of the stock market. Many were heavily invested in 2007, lost a lot of money, and swore it off forever.

The reality is forever turned out to be 5 years. Now new data shows those legacy investors are jumping back in the pool.

The Financial Times of London reports that roughly 50% of those who did invest before the economic meltdown washed their hands of it. Now that’s down to 30%. So we have about a third of people who are still burned too bad to get back in. But the fact that 70% are in the game is great.

Even better, those who are aged 18-35 are now investing again in big numbers. Some 75% of those younger folks that would have the likely profile to invest are doing it. Only 25% are staying on the sidelines.

Why am I excited about this? Because the fuel for capitalism requires people who are willing to put their money at risk. If you don’t have that, growth withers.

It’s true the stock market may be at a point where it needs correction, but I don’t care about that. I don’t worry about this year or next year. I just keep my eyes on my own retirement horizon, which is down the road.

Keeping money in the game, steady as you go, is the key to building long-term wealth.

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