I bet you’ve heard it already—investing is as important as saving for your retirement. Without investing, you will forever rely on active income and you will surely work for life if you do that. One good thing about investments is that they act as passive income wherein you don’t have to spend so much time and sweat just to make money. When you invest, your money becomes more valuable and the need for active income decreases while your passive income increases. Now, for the challenging part, did you know that it’s not just adults who invest in stocks, bonds, or other portfolios? Yes! Kids are starting to invest as early as at the age of 7 years old! Imagine how these young minds face the challenges of the market. If you are an investor and parent at the same time, here’s how you can teach your kids to invest.
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The heart of why I do these seminars is I want to build a generation of Filipinos with the right foundation in stock investing. I want to bring smart investing to every Filipino around the world! If you would like to know more about how you could time the market check out the trainings below.
The first step you must do as a parent is to feed your children with realistic information about investing. Buy them books to read but choose the ones that are easy to understand. Some investing terms may be hard to comprehend, which is why it is essential that you opt for a book that suits your kids’ level of understanding. If you think books do not fit your children, you can opt for videos and audios that can help them open their minds about investment. It’s important that you are aware of your kids’ capabilities when it comes to processing information so you would know what means to use when teaching them the basics of investment.
I’ve met a lot of parents and kids together in a seminar or conferences. For me, bringing them to this kind of events somehow give them an insight of what is it like when you invest. Regardless of the age of your kids, they will continue to learn if you expose them to investment discussions. However, as a parent, you should keep in mind that not everyone is made for investing. The reason why you need to invest in your children’s knowledge first is for you to know if they show interest in these kinds of stuff. Once you’ve discovered that they are willing to learn, that’s the only time you can show to them what is investing in another level.
Showing your children how to investing is done is another way to teach them how to invest in a different level. Once they have learned the basics, demonstrate to them how you invest in a specific portfolio like stocks. Just let them watch you how to trade or invest. I’ve interviewed kids who are investing and one of the insights I have learned from them is that they learned the art of investing through their parents showing them how it works. You can do the same by teaching your kids while they navigate the online broker’s website.