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Yes, when you're younger you (general you) typically are less risk-averse, so you can invest in these high risk high reward stocks. That being said, whether it
by turkeybone 13y ago
Yes, when you're younger you (general you) typically are less risk-averse, so you can invest in these high risk high reward stocks.
That being said, whether it's TSLA or AAPL or some other "sure thing," exposing yourself to such a large amount of unsystematic risk isn't really wise. What if Elon Musk dies tomorrow? What if a plant catches on fire? Then your $4,000 could be decimated. Yes $4,000 will not mean much to you in 15 years, but compound interest average returns for 15 years hopefully should.
I love TSLA and I have money invested, but I don't think it's wise to be 100% in anything, no matter what it is.
- chatmasta 13y ago$4,000 compounded at 5% interest in 15 years is $8,315. (Ignoring further additions to the IRA, since those are irrelevant to current decisions). $8,315 will be about as meaningless to me in 15 years as $4,000.