If you’ve ever scrolled through TikTok and thought, “Wait… should I be day-trading crypto instead of drinking this $6 latte?” – – you’re not alone!!! Social media is full of creators showing off massive wins, flashy charts, and quick cash grabs. It looks exciting, almost like a cheat code to financial freedom. BUT here’s the catch: most of those highlight reels leave out the ugly part, the sleepless nights, the big losses, and the fact that the vast majority of day traders don’t come out ahead.

Real wealth? It doesn’t come from chasing the next meme coin. It comes from boring-sounding, long-term investing, putting your money in assets that grow steadily, compounding year after year, while you focus on building your life.

Let’s break down the difference between trading and investing, explain why social media hype can be misleading, and show you how to set yourself up for financial wins that actually last.

• Trading: Buying and selling stocks, crypto, or other assets quickly to make short-term profits. Think of it like trying to catch the perfect wave.
• Investing: Buying assets with the goal of growing your money over years or decades. More like planting a tree and letting it grow over time

• Stocks: Ownership in a company. Higher risk, higher reward. Investopedia: Stocks
• Bonds: A loan you give to a company or government. Lower risk, lower reward. Investopedia: Bonds
• Mutual Funds & ETFs: A basket of stocks/bonds you buy into, good for beginners.

• More risk = more growth potential (think stocks).
• Less risk = more stability but slower growth (think bonds).
• Rule of thumb: balance your risk depending on your age, goals, and timeline.

The earlier you start, the less money you need to invest later. Why? Compounding. Even small contributions make a huge difference thanks to compound growth.  ie: Investing just $100 a month starting at age 22 could grow to over $300,000 by retirement (assuming average market returns). That’s money working for you while you sleep!

Don’t put all your eggs in one basket. Buying a mix of investments spreads out the risk, so if one stock or coin tanks, your whole portfolio doesn’t. ie: “Don’t bet it all on Tesla or Apple or Nike, spread it out so one flop doesn’t tank your whole portfolio.”

💡 Tip for Gen Zs: Diversification isn’t just about spreading money across a few stocks; it’s about mixing asset classes (stocks, bonds, ETFs, maybe crypto) and geographic regions. Even small, regular contributions compound nicely over time.

The real flex isn’t “timing the market,” it’s STAYING IN THE MARKET. Consistency beats chasing hype. Think marathon, not sprint. Have patience and consistency over hype. Don’t time the market, stay in the market!

• Mindset picks
  • The Wall Street Journal (business edition) has great 10-minute audio podcasts and posts every day about the market.
  • MarketBeat Free Newsletter for practical investing insights.
  • TikTok Creator – Follow Humphrey Yang @humphreytalks: He breaks down investing basics (like ETFs, Roth IRAs, and compounding) into quick, hype-free videos that make money concepts easy to understand.

• Investopedia Stock Simulator – compete with friends or practice on your own.
  • How to Use the Investopedia Simulator
• Here’s another free simulator with contests and tutorials.

• You don’t need to be rich to invest; you just need to start.
• When you’re young, TIME is your greatest advantage.
• Learning the basics now makes you more confident later.

•  NERDWALLET ARTICLE: Investing for Beginners: How to Get Started