Market Briefs Newsletter

Subscribe to our FREE finance & business newsletter to get financial news you can finally use.

Thanks for signing up to Market Briefs! Please check your email to confirm your subscription. If you don't see the email in an hour, check your spam and promotions folder. 

Be sure to read our Privacy Policy & Terms of Use.

  • Skip to primary navigation
  • Skip to main content
  • Skip to footer
Minority Mindset

Minority Mindset

Defy all odds.

  • Home
  • About
  • Blog
    • WEALTH
    • REAL ESTATE
    • CRYPTO
    • STOCKS
  • PRODUCTS
  • MONEY 101
  • GUAC TALK

Rethink Stock Market

M1 Finance Review

The Ultimate M1 Finance Review - Great For Experienced Investors

Robinhood Review

Robinhood Review - How To Use Robinhood In 2022

Webull Alternatives

Webull Alternatives To Consider - Top Investing Apps In 2022

Top 5 Investing Apps With Instant Deposit

The Top 5 Investing Apps with Instant Deposit

What Is M1 Finance

What is M1 Finance? How to Start Investing with M1 Finance

stock market Guides

Getting Started With Stock Market Investing

How To Invest In Stocks For Beginners

A Guide For The Late Investor

More On Stock Market

Is Stock Market Investing Just Gambling?

Is Webull Good For Beginners? What You Need To Know

robinhood fees

Robinhood Fees - What They Cost Me and Why?

How To Learn About Stock Trading

How to Learn About Stock Trading – 3 Great Resources

Stock Market Investing VS Trading

Stock Market Investing vs Trading - What are the Differences?

Is M1 Finance Good For Beginners

Is M1 Finance Good for Beginners?

Is Robinhood Safe For Beginners

Is Robinhood Safe for Beginners?

How To Create A Stock Market Investment Plan

How to Create a Stock Market Investment Plan

How Does M1 Finance Pay Dividends?

Best Age To Start Investing

Best Age To Start Investing - Here's How To Start

Stock Market 101

What is Stock Market Investing?

When a business is doing well, its stock prices are higher. When it’s not doing well, its stock prices are lower.

 

There are two ways you can earn money from stocks.

 

Appreciation – when the price of your stock goes up, you can sell your stocks.

Imagine you purchased a thousand stocks at $100 apiece. Over time, your stocks go up and up and up — until they are worth $200 each.

 

You could cash out and sell your stocks for $200 each — congratulations — you earned $100,000! Or, you can reinvest your earnings and try to get that $100,000 to earn even more money.

 

Dividends – When a company is doing well, its board of directors distributes a portion of its earnings back to the stockholders.

  • Cash dividends return cash to stockholders.
  • Stock dividends give more shares to stockholders. It's a way for investors to compound their investments.

Reinvesting dividends, over decades, is how people like Grace Groner and Sylvia Bloom ended up as multi-millionaires, even without big salaries.

 

So, instead of thinking about how you can turn your earnings into cash, think about how much wealth you’ll build by continually reinvesting your stock earnings.

 

Investing versus Saving

Investing is best for long-term goals, like retirement. Investing gives you growth over liquid assets and counters inflation. Your money is working on itself, whether the economy is booming, the area you’ve got real estate in is rising or you’ve backed a startup that is taking off. The money you’ve invested will have a return when you go to use it down the road.

 

Saving is best for short-term goals where you can easily access this money. The downside of stashing the money away in a high-yield savings account or Certificate of Deposit (CD) is inflation, currently at 3%. This means that if you put $100 dollars in your sock drawer for next year, your spending power will be roughly $97. You effectively have less money than the previous year.

Our Stock Market Partners

Click here for our advertising disclaimer.

M1 Finance

New or hands-off investors can enjoy the ease of use when investing with M1.

Robinhood

Investing can be easy, learn how Robinhood can help.

Footer

As Always Keep Hustlin’

Company

  • About Us
  • Store

Help

  • Contact Us
  • Advertise
  • YouTube

Legal

  • Privacy Policy
  • GDPR Opt-Out
  • Comment Policy
  • Terms of Use

Follow us on:

Disclaimer: The information on this site is of a general nature only. It does not take your specific needs or circumstances into consideration. You should look at your own personal situation and requirements, and seek independent professional advice, before making any financial decisions. Our content is provided for informational purposes only, and no content that is provided or included in our products or services is intended for trading or investing purposes. We will not be liable for the accuracy, usefulness, or availability of any information transmitted and/or made available by way of our products or services, and shall not be responsible or liable for any trading and/or investment decisions made by you based on any such information. For a further understanding of this Disclaimer and use of our site, please see the information contained in our Terms of Use and Advertising Disclaimer.

Minority Mindset may earn a portion of sales from products that are purchased or recommended through our site as part of our Affiliate Partnership with retailers and brands.

Minority Mindset has partnered with CardRatings for our coverage of credit card products. Minority Mindset and CardRatings may receive a commission from card issuers.

© 2022 Minority Mindset, LLC. All Rights Reserved.