[00:01] to start from, then this video is for you. In this video, I'll be giving you a money with stocks. I'll break down everything you need to understand about make money in the stock market. So, let's get into it. Now, the first thing
[00:16] I want to talk about is what is the point of investing. Now, you need to getting rich overnight. The point of investing is for your money to make you more money. Again, for your money to make you more money. Now this means that
[00:29] before you start investing your money, you should be making money already. That is you should have a source of income already. So investing means that you are already and you're putting it into an asset and then that asset makes you more
[00:42] money later. Also, investing is all about long-term wealth creation, financial discipline, and making informed decisions. So this means that you are not just investing based on what random people see or what random people
[00:54] tell you, but you're investing based on the research that you've done. And successful investors focus on patience, consistency, and continuous learning rather than chasing quick profit. So keep that in mind as we go through this
[01:06] investing is that it helps you to beat inflation is a general increase in prices and fall in the purchasing value of money. Now, in reality, what this means is that if something cost $1,000
[01:19] some years ago, that same item now would definitely be higher than $1,000. So this means that the $1,000 you had some years ago has lost its purchasing value. So that is what inflation is all about. So instead of allowing inflation to eat
[01:33] it so that the money can make more money for you and that way you can beat inflation. So now that you understand the point of investing, then what are stocks? Now stocks represent ownership in a company. That is when you buy a
[01:46] stock you become a shareholder of that company. meaning that you own a small part of that company and then in return you can benefit when the company grows the price of the stock or through dividends. Now companies issue stocks to
[01:59] raise money for business growth and investors buy those stocks hoping to types of stocks. We have the growth stocks and we have the dividend stocks. Now we'll start with the growth stocks. Now the growth stocks are stocks from
[02:12] companies that are expected to grow at an above average rate compared to other are companies that have the tendency to grow faster than the average company. profit back into the business instead of paying dividends. So they don't pay
[02:28] dividends to their investors. They only focus on expanding their market share and developing new product. And most of these growth stocks are companies that are in the technology sector, healthcare sector or new industries. And they also
[02:40] have higher price to earnings ratios and they can be more volatile but potentially offer higher returns. Now you might want to ask me that if these their investors, how then will the investors make money? Now like I said
[02:53] companies that are expected to grow faster than the average company. So the that when there's growth in the company or when there's an increase in the price of a stock of that company, you also make profit for yourself. So for
[03:07] example, if you buy a growth stock now at $10 per share and after some month the price of a stock moves to $15 per share, then this means you've made 50% profit on your investment after some months. So that's how you make money
[03:20] with growth stocks. Basically from the name growth stocks, it means you make company. And some examples of growth stocks include Amazon, Tesla, Meta, and so on. So that's the first type of stocks we have. But before I go into the
[03:34] like this video so more people can watch it. And if you're new to our YouTube haven't. Thank you. Now the second type of stocks we have will be dividend stocks. Now these are stocks from wellestablished companies that regularly
[03:47] pay dividends to their shareholders or to their investors. So for example, if year or thereabouts, the company will distribute a portion of its profit to their investors and this form of making money with stocks is called dividends.
[04:02] predictable earnings and they in mature industries with steady cash flow and they have slower growth rate compared to growth stocks and they are often considered more conservative investment
[04:14] and they provide regular passive income through dividend payments. Now some examples of dividend stocks include Coca-Cola, AT&T, Verizon communications and in Nigeria we have Dangote Cement PC UBA Bank, Zenit Bank, Etel Africa,
[04:30] Access Holdings and so on. So these are the two types of stocks we have again we have the dividend stocks and the growth stocks. Now both types of stocks can be portfolio depending on your investment goals. So now that you understand the
[04:43] point of investing, you understand what stocks are and now you understand the two types of stocks that we have. The next thing is why should you invest in stocks? Now investing in stocks is one of the best ways to grow your money over
[04:55] time. And I'm going to be sharing with you some reasons why you should invest reason you should be investing in the stock market is that it helps you to beat inflation. That is stocks will help you maintain your purchasing power over
[05:08] this at the beginning of this video and I explained what inflation is. So again investing in stocks will help you to beat inflation. Now the second reason market is that it is a way to earn passive income for yourself. Now like I
[05:22] said earlier some stocks pay dividends which gives you a steady source of passive income for yourself then you should start investing in dividend should invest in stocks is investing in stocks also gives you ownership. So for
[05:36] example, owning stocks gives you a stake in big companies like Apple or Google. invest in stocks is that investing in stocks also helps with capital appreciation. That is as companies grow and become more valuable their stock
[05:49] prices tend to rise over time thereby increasing your capital in the investment too. And number five is that stock investment offer portfolio diversification. Now by investing in different companies across different
[06:01] sectors, you can spread your risk and potentially increase your returns. So companies in different sectors and the reason I do this is to diversify my stock investment so that if one company is not doing well, the others will
[06:14] understand. Now the sixth reason why I should invest in the stock market is that stocks provide liquidity. Meaning that you can sell your shares quickly and faster if you need to access your money anytime unlike other investment
[06:27] for a buyer to buy your real estate investment. So if you need an investment anytime then consider investing in the stock market. Now the seventh reason why you should invest in the stock market is that investing in stocks allows you to
[06:41] you make money from stocks and you reinvest your profit whether from dividends or capital gains, your money can grow exponentially over time. That means your profit from your investment can make more profit exponentially for
[06:54] the reasons why you should start investing in the stock market. So now that you've learned all these things about the stock market, how then can you start investing in stocks, the first step is to set investment goals. Now you
[07:07] need to ask yourself, am I investing in the stock market for wealth building or for passive income or even for the future? That is, are you investing to cash out after 20, 30 or even 40 years? Now answering this simple question is
[07:20] important as your goal will shape your strategy in investing in the stock market. Now step number two is to get a stock broker or use an investment app. So for me I use the Trove investment app and the Bamboo app for investing in
[07:32] invest in both US stocks and the Nigerian stocks. And if you want to create an account on Bamboo app or Trove app, use the links in the description of pinned comment of this video. Now the third step is to have an amount you want
[07:46] to invest periodically. Now this is something I always advise people to do market or even in crypto. Always have an periodically. So for example, you can decide to start investing $100 every
[07:59] month in different stocks of your choice. Now this way you don't have to and you just keep investing periodically. Now step number four is to buy your first stock. Now once you have your money, you can now buy any stock of
[08:13] or a dividend stock. Now I already explained these two type of stocks at making a video very soon to share with you guys the stocks I'm investing in. So please subscribe to the YouTube channel and turn on the notification bell so you
[08:28] don't miss this video. And then step number five is to monitor and adjust your portfolio. Now investing is not about buying and forgetting. Make sure you keep an eye on your investment. Always review your investment regularly
[08:40] and adjust if needed. Now for me, I always review all my investment at the end of every month and it has been really really helpful. So now that I've stock market, let's go on and talk about the common fears and concerns people
[08:53] have about investing in the stock market. Now stock prices fluctuate and yes, losses are a possibility when you're investing in the stock market. the risk. Other people think that investing is complicated, but with the
[09:06] right resources and education, it actually gets easier. Now, understanding these fears I'm about to talk about and overcoming them can make you a confident investor. Now the first one is the fear of losing money. Now this is the most
[09:19] common fear among beginners in the stock market. Now the stock market volatility can seem scary especially when you see dramatic market drops. However, historical data shows that despite market fluctuations, the stock market
[09:32] has consistently grown over long-term periods. So the key is to understand stock market and they are part of the investment journey. So just focus on investing for the long run. Now the
[09:44] second one is the fear of market complexity. Now many people believe that investing is too complicated and that it requires advanced financial knowledge. platforms out there right now that have made it more accessible than ever to
[09:57] educate yourself about investing in stocks. Now this video is an example and point I'm sure you now know that investing in stocks is not complex at all. Now the third one is the fear of insufficient funds. Now this
[10:10] of money to start investing in stocks holds many people back. Now you can basically invest in stock with as low as $10 and you don't need huge amount of important thing you need to take note is that you just start early and invest
[10:24] consistently even if it's just a small amount of money every month. And the fourth one is the fear of bad timing. Now many new investors worry about entering the market at the wrong time. Now most of them always fear buying
[10:37] stocks when prices are too high or missing out on the best opportunities. Now this fear can lead to bad decisions for you. Don't try to time the market. all. So if you really want to overcome this fear I've talked about start with
[10:50] small amount to invest. Educate yourself continuously about investing. Focus on short-term investing and use dollar cost averaging strategy to invest. That is invest an amount of money in the stock market every week or every month. And
[11:05] lastly, build a diversified portfolio to spread the risk. So that is it. You now stock market. And remember that investing is a long-term journey. So start small, stay consistent, and keep learning. Now, if you stay to the end of
[11:19] sure you've learned a lot about the stock market in this video. Now, if you to like this video, subscribe to our YouTube channel, and share this video learn the six ads stopping you from saving more money, click on the video
[11:33] learn the 19 rules of money that will make you rich, click on the video watching. I will see you in the next one.