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Investing For Beginners in 2026 (Start With Just $100)
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00:00Hi, it's Mark.
00:00So have you ever had $100 in your pocket
00:03and wondered how you could turn it into 1,000,
00:0510,000, or even $100,000?
00:09Well, sadly, this isn't something they teach in school.
00:11Come to think of it,
00:12it'd have been pretty awesome if they had.
00:14Because of this lack of knowledge,
00:15it seems pretty scary for most beginners
00:17to get started in investing.
00:19But in today's video,
00:20I'm going to simplify the whole process.
00:22Investing my money allowed me to become a multimillionaire.
00:25And guess what I started with?
00:27That's right, $100.
00:28Well, probably less than that, to be honest.
00:31I'm not saying becoming rich is easy,
00:33but by taking calculated risks,
00:35you'll be able to grow your wealth over time.
00:37I understand that everyone has a different risk tolerance.
00:40So today, I'm going to be revealing
00:42how to invest for beginners with $100.
00:45And as we go through the video,
00:46the risk is going to increase.
00:48But remember, as the risk goes up,
00:50so does the potential reward.
00:52I'll also be putting my money where my mouth is
00:54and investing $100 into each one of these options.
00:57So you can see exactly how to do it.
01:00I'm just about to invest in something
01:02I never thought I'd actually do.
01:04Here goes.
01:05When someone asks me how they should invest $100,
01:08I usually say, invest in yourself.
01:10You can do this by buying books and improving your skills.
01:13But assuming you've already done this,
01:15now we're going to be talking about the specific places
01:18you can actually put your money.
01:20Now, I'm a businessman.
01:21I'm not a financial advisor.
01:23These are just some of the ways I've invested my money
01:26over the years and they've worked for me.
01:28You can also sit back and relax
01:30because I'm not going to try and sell you anything at the end.
01:32Just remember, if you enjoyed the video,
01:34then smash that like button
01:36because it really helps push this video out to more people.
01:39And also consider subscribing if you want to grow your wealth.
01:42The first investment is a high interest savings account.
01:45This is a one out of 10 on the risk scale.
01:47So the lowest possible risk that you can have.
01:50Nowadays, it's extremely hard to find any savings account
01:53that will pay a substantial amount of interest,
01:55but that's not the main reason it's on the list.
01:57By putting your money into a savings account,
01:59you're actually starting to create
02:01what I like to call an emergency fund,
02:03which I believe everyone should have.
02:05This is money that you can access
02:07if something unexpected comes up and it's extremely low risk.
02:11And by having money on hand,
02:12you can avoid getting into debt and having to pay crazy fees back.
02:15I remember when I bought my first apartment,
02:17I had a minor crisis after about two months,
02:20as the hot water system went wrong and it needed replacing.
02:23Because of my emergency fund,
02:25it saved me over $200 as I didn't have to take out a payday loan.
02:29When you leave your money in the bank,
02:30it slowly loses its value.
02:32So when I am looking for the best savings account to combat this,
02:35I look for two things.
02:37The first, of course, is a good interest rate,
02:39which depends on the economy mostly.
02:41The second thing is having the ability to access my money instantly.
02:44Some banks that are really worth looking at and consistently have a good rate of interest are
02:49Ally Bank, Marcus by Goldman Sachs, and Citibank.
02:52I currently have an account with Marcus by Goldman Sachs,
02:55and their interest rate is 0.7%, which isn't very high,
02:59but is currently one of the best available.
03:01So there we go.
03:02Nice and easy, $100 deposited into my savings account.
03:06Now for gold, often referred to as a safe haven.
03:09I'll give this also a two out of 10 on the risk scale.
03:12Did you know that since the creation of the Federal Reserve in 1913,
03:16the US dollar has lost 95% of its value.
03:20So you're actually only left with 5% of its original purchasing power.
03:24So if you want to stop your money losing value, then maybe gold is for you.
03:28If you had a $100 nugget of gold in the year 2000,
03:32it would now be worth approximately $580.
03:35The piece of gold hasn't actually changed in size.
03:37It's still the same piece of metal.
03:39But what has actually changed is the value of your dollar and how much gold you can buy with it.
03:44Gold was actually our original currency used by our forefathers.
03:47I remember those days well.
03:49It's perfect as it can't be manufactured and it lasts for thousands and thousands of years.
03:54So if you've ever watched Gold Rush on TV,
03:56you'll know how hard it is to actually mine this stuff out of the ground.
04:00Now you may be wondering if it's so safe,
04:02why have I given it a two out of 10 on the risk scale?
04:04It all comes down to opportunity cost.
04:07You have to ask yourself if you really want to just protect your $100 against inflation
04:11or if you want to invest it in other opportunities, which could make it grow a lot quicker.
04:16If you invest in gold, then you would be missing out on these potential profits,
04:20making it a little bit risky.
04:22I would say that this is the perfect investment if you have a lot of money already
04:26and all you want to do is just protect it.
04:28There are two different ways that you can invest in gold.
04:31The first way would be to actually buy physical gold.
04:33But if I bought jewelry, I don't know, gold bars, coins and that sort of thing,
04:38I'd probably be paying too much because the person selling it would want to make a profit,
04:42which means I would be paying more than the true value of the gold itself.
04:46The alternative is to invest in gold within a broker app like Robinhood in the USA
04:51or Trading212 in the UK.
04:53Then you're able to buy gold at its true value and have the option to sell much quicker.
04:58In the USA, I would look for the GLD ETF on Robinhood, which is one of the largest gold ETFs
05:04in the world.
05:05As of June 2020, they hold over 36.49 million ounces of gold in vaults all around the world.
05:13As I'm currently in the UK, I'm going to invest using Trading212 in a similar share.
05:17And with just a click of a button, there you go, I'm now Mr. Gold Man.
05:22If that doesn't sound exciting enough for you, then why don't you try a simple low-cost index fund?
05:27I'll give this a 3 out of 10 on the risk scale.
05:30If you invested just $100 per month into an index fund with a 7% annual return,
05:35then after 30 years, you'd have $123,000.
05:40That's the power of compound interest.
05:42You can do all of this without having any knowledge of the stock market.
05:46I remember when Warren Buffett, one of the richest men in the world,
05:49placed a million dollar bet that a simple S&P 500 index fund would outperform
05:55a professionally picked portfolio of hedge funds over a 10-year period.
06:00Now, this contest wrapped up in 2017 and the results were made public.
06:05Warren Buffett had actually won a million dollar bet,
06:08which really shows the power of index funds
06:10and that the everyday person can take on the pros with little to no knowledge.
06:14Imagine an index fund is like a bag of Haribo gummies.
06:18The machine in the factory puts a range of the most popular candy into one bag,
06:23so you can enjoy the best of the best without having to pick and buy each and every one individually.
06:28Now, just replace the candy with companies.
06:31That's what an index fund is.
06:33You can buy your own selection bag of the most popular companies in the world,
06:37such as Apple, Microsoft, Amazon, and Facebook.
06:40And your money is split between all of them.
06:43Now, let's go back to the Haribos.
06:45Imagine you left these on the side and they're open for a few days or so.
06:48They'd go hard and they certainly wouldn't taste as good, would they?
06:51But by putting them in a container, you can stop that from happening.
06:56This is very much like index funds,
06:58as if you leave them unprotected, the government will start taxing you on the profits you make.
07:02But you can protect them with a sort of container like this,
07:06which is known as different things in different countries.
07:08In America, it's called a Roth IRA, and in the UK, it's an ISA.
07:14These containers allow you to protect your money after tax,
07:17and then any profits you make are yours to keep.
07:20But because they're so good and they're so powerful,
07:23there's a cap on how much you're allowed to invest each year.
07:26So if I was you, I would take full advantage as soon as possible and max out your allowance.
07:32There are more in-depth strategies you can use, but for the purpose of this video,
07:36I'm going to be investing $100 into an S&P 500 index fund,
07:41which over the last 20 years has an average yearly return of 7%.
07:45Drop a like if you'd like a full video covering this topic,
07:49because there's so much on this we could talk about.
07:51But Mark, $100 isn't enough as the S&P 500 is over $3,000 a share.
07:58Well, you don't actually have to buy a full share to invest.
08:00My favorite brokers are Fidelity, ChildSwap, and Vanguard.
08:04So if we head over to Vanguard's website now and we find the S&P 500,
08:09here you can see what companies are in the index fund, so you can buy the right one.
08:13So all you have to do is create an account.
08:15I already have one.
08:16And deposit some money, and then click, there you go, job done.
08:20The fourth way to invest is in a real estate investment trust, otherwise known as a REIT.
08:24I'll also give this a 3 out of 10 on the risk scale.
08:27Now imagine your friend collected $100 from 3,000 people.
08:31He will have $300,000.
08:34Then he takes this money and he buys a property.
08:36He rents it out and splits it with all 3,000 people that helped him buy the property,
08:41which helps them start generating some of that sweet passive income.
08:45That's the basic way of explaining a REIT.
08:47It lets everyone benefit from investing in income producing properties without actually buying one.
08:53Think of it like buying a small share in a property.
08:55Let's say you own the front door, someone else owns the windows,
08:59and a few other people own all the bricks.
09:02But all together, you own the property.
09:04Equity REITs own things like offices, shopping centers, apartments, hotels, and much more.
09:10And they get their income through the rent.
09:13By law, they have to pass on 90% of all profits to the investor.
09:17Like a dividend, however, they're taxed a little differently.
09:19The cool thing is that at the start of 2019, the 10-year average return for REIT ETFs
09:25did better than the S&P 500 with an average return of 10%.
09:29If you're in the USA by investing in the VGSLX by Vanguard, you can average a 12% return,
09:37which beats the average real estate investor.
09:39How awesome is that?
09:40As I'm in the UK, I'm going to use the Trading212 website to put $100 into a similar REIT.
09:46It has high global diversification, meaning I can invest in all the up-and-coming property
09:51markets around the world.
09:53The next option is buying and selling items.
09:55The risk on this really depends on how good you are at finding great deals.
09:59But I'll give this a, I don't know, 4 out of 10 on the risk scale.
10:02The good thing about doing this is that you can buy and sell something that you're interested in
10:06and have knowledge about, which can lead to bigger possible returns.
10:10Now, I'm going to invest my $100 in either pre-owned radio control model gear or golf equipment.
10:15Both of these I've got an interest in, so I should have a reasonable idea of what each item is
10:20worth.
10:20Pokemon cards would be a great area to have some expertise in,
10:24as their value at the moment is skyrocketing.
10:27Logan Paul just bought a Charizard card for over $150,000.
10:32How mad is that?
10:33So I've been on Facebook Marketplace, as most people have access to that platform,
10:37and I found myself a model engine that I'm going to go and try and buy.
10:41It's up for £75, which is approximately $100.
10:44We've sent a few messages back and forth, and I'm going to go and have a look at the item
10:48now.
10:57Hello there, I've come about the engine.
10:59Oh yeah, there you go.
11:00Oh, in the box as well. Cool, that's good.
11:02It's all boxed.
11:03Cool, that looks right.
11:04So would you take £70 for it?
11:06No, I've got to have £75. Doing this box in good condition.
11:10Can you do a bit better?
11:11I'll tell you what I can do.
11:15There you go. I'll throw that in.
11:17Really?
11:17That's what it came out of, £75.
11:19That's a deal.
11:20Okay, we'll do that.
11:21There you go, I'll give you £75.
11:23Lovely, thank you very much.
11:24We're videoing this for our YouTube channel, do you mind?
11:26No, that's fine.
11:27All right then, see you again.
11:28Thanks a lot, thanks for that.
11:32So, I've done a listing on eBay for the model engine, and the model plane,
11:35I'm going to actually advertise on a specialized website for model flying, as I'm sure I'll be then
11:40selling to the right people and hoping for big profits.
11:43Now we're starting to get serious, it's time for individual stocks.
11:47This gets a 6.5 out of 10 on the risk scale.
11:50There's a certain amount of risk that comes with investing in individual stocks,
11:54but if you pick your companies well, then it can be really exciting as there's the potential
11:58to make a lot of money.
12:00During the dot-com boom back in 1995, I was really lucky to pick a few great stocks.
12:05Which I cashed in, and I made a lot of money in a very short period of time.
12:09When the bubble burst, some of the companies I'd held onto, which had cost me very little,
12:14went completely out of business.
12:16Luck and timing can be a very crucial part of stock investing.
12:19I picked these stocks using what's called fundamental analysis,
12:22which means I looked at the business financial statements,
12:26their market, and also the leadership of their companies.
12:29Back then, this was a lot of work, but now it's easily found out on Yahoo Finance.
12:33A while ago, I read an article about an experiment where they simulated 100 monkeys
12:39throwing darts, like this, at the financial pages of a newspaper.
12:43The stocks the monkeys picked on average outperformed the so-called smartest hedge fund managers
12:48on Wall Street.
12:49So for this video, I thought it'd be fun to put this theory to the test.
12:53I don't have a monkey, so I thought I'd have to do.
12:56So I'm going to throw a dart at the board, and as you can see,
12:58I've randomly selected 20 different stocks, and wherever the dart lands,
13:03that's what I'm going to invest in.
13:05Now, I've just got to put on a blindfold.
13:06Okay, here we go.
13:09Right, let's see what we got.
13:12And we've gone into Samsung.
13:15Right, so I'm going to jump straight onto my brokerage account and set an order for Samsung.
13:21If you want to invest your $100 in an individual stock,
13:24then Webull are currently giving away three free stocks for a limited time when you deposit $100
13:29into your account.
13:30I'll just leave the link in the description if you want to pick up those free stocks.
13:33So now we're going to be moving into the realm of gambling and speculation,
13:37rather than investing.
13:38Number seven is cryptocurrency.
13:40This is a nine out of 10 on the risk scale.
13:43So you've probably heard of Bitcoin.
13:45This is currently the most popular type of crypto.
13:48If you'd have bought $100 worth of Bitcoin in 2015,
13:51today it would have been worth around about $5,000.
13:56That's a 5,000% return on your investment.
13:59And that's pretty unheard of.
14:00Therefore, many people that invested in Bitcoin in the early days became millionaires overnight.
14:04But a lot of people also lost money.
14:07If you'd invested around $100 in December 2017,
14:11when Bitcoin was at an all-time high,
14:14by December 2018, you'd have had less than $17 left.
14:18So really, no one really knows what it's going to do next.
14:21It's extremely risky, but still very attractive,
14:24because it has the potential to make you millions.
14:27There are three main types of cryptos.
14:29These are Ethereum, Ripple, and obviously the big one, Bitcoin.
14:33But let's just focus on Bitcoin today.
14:35If you want to learn more about other types of coins,
14:37you can read something called a white paper,
14:39and it will give you all the details.
14:41The cool thing about Bitcoin is that it uses something called blockchain,
14:45and it isn't regulated by the government.
14:47You also can't create any more Bitcoins, which makes inflation absolutely impossible.
14:52In my opinion, this investment would probably only make sense
14:55if you're investing an extra $100 that you don't really need.
14:58So I'm going to jump onto the most popular Bitcoin app,
15:01which is called Coinbase, and invest my $100 in Bitcoin and forget about it.
15:07By the way, if you wanted to give this a try,
15:09I'll put a link to Coinbase in the description down below,
15:12and you can pick up $10 of free Bitcoin.
15:15At least that gives you a bit of a head start.
15:17The last is definitely a full-on gamble.
15:19You may have guessed it already.
15:21It's the lotto.
15:22This is definitely a 10 out of 10 on the risk scale,
15:25and isn't something I would recommend doing.
15:27However, I thought I'd include it in this investing video.
15:29So many people choose to do it.
15:32In fact, 57% of all Americans buy at least one lotto ticket per year.
15:37The chance of actually winning is one in 14 million,
15:40which might sound quite possible.
15:42But let me just try and put that into a bit of perspective.
15:45You're 4,000 times more likely to win an Oscar than win the lotto.
15:49Millions of people lose their money every year,
15:52but they keep playing as the rewards are sky high if you win.
15:56I'm just about to invest in something I never thought I'd actually do.
16:00Here goes.
16:01Can I have 100 scratch cards, please?
16:06Lovely. Thank you very much.
16:08Thank you, Hal. Cheers and thanks. Bye.
16:10As you can see, this is going to take me quite a while.
16:13I'm going to leave a counter on the screen so you can see how much I've spent
16:16versus how much I've earned back from my investment.
16:20Let's do this.
16:27I hope there's a bit more in this lot.
16:30There's got to be, hasn't there?
16:41So we're halfway through.
16:43The most we've earned so far is $3 on one ticket.
16:46I'm going to need some help.
16:47I've got 50 more to go.
16:48Come on, Curtis. I know you've been itching to have a go at this.
16:51Have you got your coin ready?
16:52I do. Ready.
16:54Let's race to see, wait for it,
16:56who can find the most money in the remaining 50 cards.
17:00Ready?
17:00Okay.
17:00On your marks, get set, go.
17:04Tom, go.
17:14$15.
17:16Really?
17:17Yeah.
17:18No?
17:18Oh, wow.
17:21$15.
17:22He's only just started doing this.
17:24He's got more than me.
17:25I've beaten you already.
17:27$15.
17:30Really?
17:32$15.
17:33$15.
17:33He's only just started doing this.
17:33He's got more than me.
17:34$10, we think.
17:35Is that $10?
17:36$10.
17:37$10.
17:38I think so.
17:39What did you get?
17:40You say you're smashing me, but I'll tell you what.
17:43How about this?
17:44How about this?
17:45Another dollar.
17:46Oh.
17:56I'll tell you what.
17:58This has got to be an astonishing last four cards
18:00if we're going to get any money back from this.
18:02So we just came back and we double checked it.
18:04We made back $50 from our $100 investment.
18:08Now you may think that sounds pretty good,
18:10but that's actually a negative 50% return.
18:12This was meant to be a little bit of fun,
18:14but it's pretty sad to think that people play this regularly
18:17and on average are losing half their money
18:20when they could pick any one of the other investments
18:22in this video and have a much better chance
18:24of being successful.
18:25I hope this has taken some of the mystery away
18:27from the other forms of investing
18:28and made them a little bit more understandable for beginners.
18:31If you'd like me to make a part two of this video
18:33to see how these investments have done over a month,
18:36then make sure to smash that thumbs up button
18:38to let me know.
18:39I'm going to leave the next video here,
18:40but don't click on it just yet.
18:42Remember to subscribe to the channel
18:44and ring that notification bell
18:45so you don't miss out on part two.
18:47Okay, I'll see you on the other side.
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