I started getting serious about my Roth IRA about a year ago - but that didn't stop me from making a costly mistake this year. I'm breaking down my Roth IRA strategy and the mistake that cost me thousands! 00:00 - Intro 1:20 - My Roth IRA Strategy 4:28 - My Roth IRA Holdings & Allocations 9:48 - My Roth IRA Mistake 11:07 - My Roth IRA Portfolio Reveal 🚨 Subscribe to the channel: 🚨 ••••••••• 📈 Start investing on the platforms below for FREE stocks & more: ⬇️ BEST PASSIVE INVESTING BROKERAGE ⬇️ 🥧 Get $50 on M1 Finance (with any deposit): 🐂 Get 2 FREE Stocks on WeBull (w/ $100 Deposit): 🌽 Get $40 in BTC on Celsius Network & Earn 6.2% Interest (with $400 Deposit): 💎 Get $10 in BTC on Gemini + Low Trading Fees/Free Withdrawals (just trade $100): 📹 Interested in camera stuff? Here's the equipment I use to shoot my videos: ••••••••• Since I’m only 25, I am willingly taking on a little more risk in my portfolio, because I’ve got nearly 40 years until retirement if things don’t go my way in my early years. However, I also want to be clear that I’m not deliberately SEEKING risk in this portfolio either. So I’ve tried to balance my strategy by minimizing trading, selecting holdings that I can dollar cost average into for years or even decades, and keeping a diversified portfolio that supports these practices. To do this, I’ve based my portfolio on a few key ideas of diversification and asset allocation. First is straight up stock diversification. As I said, almost every study shows that total market index funds beat most other investing strategies over the long-term, which will be super important for my 40-year timeframe. Because of this, I focus on total market index funds and ETFs for my portfolio. In other words, no individual stocks. Next is having international diversification. I did a video on this a few months back and found a lot of great reasons to diversify internationally. You get diversification away from U.S. market risks, lower volatility, higher returns and recently, better valuations, which means relatively cheaper stocks. After considering all these details, I ultimately decided to target an international allocation of about 30% within my Roth IRA. Another component is asset allocation, which is the practice of diversifying into other asset classes outside of stocks. Since I’m young and consider myself to be quite tolerant of risk, I do not allocate any of my portfolio to bonds and probably won’t for at least another 15 or 20 years. But, I do allocate to real estate with real estate investment trusts, or REITs. In addition to providing diversification out of stocks with lower correlation to the stock market, REITs pay really high dividends, which means I can get substantial cash flow coming into my Roth IRA to reinvest for compound growth over the years. And while I don’t hold any commodities, gold or other precious metals, I AM allocating 5% to Bitcoin to participate in that growth within my tax-shielded account. Finally, although this is less about diversification, I’m also staying focused on highest total returns. I don’t want to sacrifice growth and price appreciation for the sake of dividends. Even though IRAs are one of THE best places for dividend investing, a high dividend yield doesn’t mean much if I can hold a different investment that simply grows faster. But as I said, I made one big mistake a couple months ago - and it probably cost me thousands. I abandoned my allocation and diversification rules and traded into a single stock trying to beat the market, I failed, and it cost me thousands in opportunity costs. If I stuck to any of the common sense investing rules that are so simple to follow, my IRA would be worth significantly more today. Luckily, I only need to make that mistake once to learn my lesson, and I’m glad I did it so early in my life. I’ve learned my lesson, I finally have a strict asset allocation strategy laid out that I will commit to following, and now I just have to keep investing money every month, which as it turns out, might be the easy part. #RothIRA #Investing #InvestingMistakes ••••••••• DISCLAIMER: NOT FINANCIAL ADVICE. The content in this video should not be used as the basis for any investment decision, as it is for entertainment purposes only. Additionally, some of the links contained in this description are affiliate links. The promotions advertised may change & I may earn a commission should you choose to purchase or sign up at the links provided....(read more)
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If you’re like me, you’ve made some mistakes when it comes to investing in a Roth IRA. I recently made a huge mistake when I decided to invest in a strategy that was too aggressive for my retirement goals. I had been researching various strategies for investing in a Roth IRA, and I decided to go with a strategy that was very aggressive. I thought that if I invested heavily in stocks, I could make a lot of money in a short time. Unfortunately, I was wrong. The strategy I chose was to invest in a portfolio of stocks and ETFs through a platform called M1 Finance. I thought that I could diversify my investments and reduce the risk of losses. However, the strategy was too aggressive and I ended up losing a lot of money. The lesson I learned from this mistake is that it’s important to be aware of your risk tolerance and to invest in a strategy that is appropriate for your goals. I should have done more research and taken more time to understand the risks associated with investing in a Roth IRA. I have since changed my strategy and am now investing in a portfolio of index funds through M1 Finance. This strategy is much more conservative and is more appropriate for my retirement goals. I am also investing in a diversified portfolio of stocks and ETFs to ensure that I am not overexposed to any one sector or asset class. My mistake taught me an important lesson about investing in a Roth IRA. It’s important to be aware of your risk tolerance and to invest in a strategy that is appropriate for your goals. If I had done more research and taken more time to understand the risks associated with investing in a Roth IRA, I would have avoided making this huge mistake. https://inflationprotection.org/my-huge-roth-ira-mistake-strategy-m1-finance-portfolio/?feed_id=73704&_unique_id=63fa29f26059a #Inflation #Retirement #GoldIRA #Wealth #Investing #investing #InvestingforRetirement #investingmistakes #investingmistakestoavoid #longterminvesting #M1FinancePortfolio #m1financerothira #personalfinance #rothiraindexfunds #rothirainvesting #rothirainvestingforbeginners #rothirainvestingm1finance #RothIRAinvestingstrategy #rothiram1finance #RothIRAMistakes #rothiramistakestoavoid #rothiraportfolio #rothiraportfolioexample #RothIRAwithM1Finance #VanguardIRA #investing #InvestingforRetirement #investingmistakes #investingmistakestoavoid #longterminvesting #M1FinancePortfolio #m1financerothira #personalfinance #rothiraindexfunds #rothirainvesting #rothirainvestingforbeginners #rothirainvestingm1finance #RothIRAinvestingstrategy #rothiram1finance #RothIRAMistakes #rothiramistakestoavoid #rothiraportfolio #rothiraportfolioexample #RothIRAwithM1Finance
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