Misconception About Investing In Business

To companies that value their employees retirement accounts, I am a 19 year-old college student attending Grand Canyon University and majoring in Business Administration currently maintaining a 4.0 and credit status of a junior. During my first year here I have become involved in various business clubs to broaden my view of the world along with meeting new individuals to broaden my network. Through this experience one thing has been reoccurring throughout each one of these clubs and that is the idea that investing is dangerous and risky and should be avoided until you have money to spare. This misconception about investing is a major cause for millennials to stray away from the stock market to safer methods of saving like just putting all

The crash of 2008 has had lasting effects on the world economy and the habits of investors making them for the most part more conservative and weary to begin investing. Millennials however, have chosen to stay as far from the stock market as they can. Along with the crash of 2008 another reason for the hesitation to invest is that many believe that your need a lump sum of money to begin investing and that brokerage fees are outrageous for any moderate investor that is of low to middle income status. Contrary to this popular belief recently many new ways of investing have sprung up in the marketplace. Most of which are downloadable applications that users can acquire on their smartphones and begin investing within minutes. A few examples being, applications called Stash, and Acorns which are two of the most popular on the app stores and with beginning investors. Having personal experience with acorns I was able to put together a portfolio and begin passively investing within ten minutes of downloading the

Holding a optional monthly meeting for all current employees to discuss ways for them to begin investing along with scenarios to show what can come from investing small amounts on a regular basis. For example, people who begin investing $1600 a year when their age 23 with an annual investment return of seven percent will acquire over 1.2 million dollars when their 65 (Shell, 2018). However, when you start investing later in life you could be losing out on significant funds given that if the same individual was to begin investing at age 32 only 9 years later they would receive ‘only’ 600 thousand half of what they could have acquired if they had started earlier (Shell, 2018). Providing scenarios like the one above is very important to really make a point on the importance of investing when your younger and waiting can hurt your future. If companies were to advertise the benefits of investing many employees would likely take up investing but those who are still on the edge or are deciding if its worth it may need more assistance. I propose that companies offer a yearly investment fund for employees that is $500 that is placed directly into a investment tool like Acorns or Stash. This ‘bonus’ would provide employees with absolute no excuse not to begin investing in their