It’s been a while, but today I have another installment of the Side Hustle/Entrepreneur series. Let’s learn more about investing with Andre.
What exactly is The Millennials Next Door?
The Millennials Next Door (TMND) is a neighborhood of DIY investors all working towards their ideal retirement goal. We focus on putting the work sooner than later so we can enjoy the fruits of our labor while still young and pass on more to the next generation.
How long has it been around?
The brand has been around for quite some time, since 2016. But over the years it has evolved into what it is now where I teach neighbors about investing instead of personal finance. Hoping that the brand continues for many more years.
How did you come up with the idea?
While I was working in the insurance field, I had a lot of free time and decided to branch out into the finance field. I began studying for a designation in the field, then the bright idea to post about what I’m learning onto social media. People began to follow me more on Instagram
How did you get into investing?
For myself, I just dived in trading with my first trade on Signet Jewelers. That trade was a loss, but I learned a lot and kept honing my investing skills. Since then, I learned to stick to my rules, investing strategies and on the plus side I learned enough to teach others.
What kinds of investing do you do?
I’ve become a fan of long-term investing by finding new and old long-standing companies. This would be Facebook or Exxon for example. I look for good buying opportunities and hold for the long term or until a better opportunity arises. Then with another portion of my money I do trend investing into many different sectors. The strategy is simple, I look for growing opportunities such as electric vehicles and invest until the big social wave dies down and move onto the next opportunity. That strategy is riskier since not all trends will do well or make take several years to catch on.
What exactly are REITs?
The standard definition is “a company that owns and typically operates income-producing real estate or related assets.” But I like to make things simple and precise. My definition for REITs is “a company/landlord that owns real estate and rents out to tenants or manages for a profit.” At the end of the day, they are a landlord but on a much bigger scale. And they allow small investors who don’t like managing tangible real estate to still invest in the sector with minimal risks and small capital requirements.
What do you think of crypto?
Crypto is too risky for me to invest a good percentage of my money but it’s also growing too much for me not to be invested at all. I aim for no more than 5% of my portfolio to be involved in crypto. And with the money I do invest I consider it to be essentially “throw away money” that I won’t miss because the world of crypto is highly volatile. Hence the lesson is to invest what you can afford to lose!
What are the basic moves to invest for retirement?
Annuity, Roth IRA, Save, or something else? The first basic move is to take advantage of any employer matching that you are offered as that is free money on the table. Then depending on the individuals situation, you have to take inventory of what you need and where you lack. For example, no emergency fund should make saving a high priority. A small investment portfolio will make that a high priority. Personal finance is personal for a reason, what may be my next steps may not be yours.
Start your portfolio with M1 Finance.
How do you begin?
For anyone interested in investing I suggest absorbing free content from reputable resources (Investopedia, Google, NerdWallet, Motley Fool) and take it all in. Big question to answer for yourself is if you want to invest on your own or hire a financial advisor, both are good options. For the DIY investors find a group or course that teaches investing because it is a shortcut past all the easy failures and time is of the essence. In my community, I teach investors how to be independent intelligence investors. Across the country, you will find multiple groups just like mine and you find the best fit for yourself to get started on a serious level.
Are there apps that you recommend teaching or keep track of your stocks?
Stockpile is great for new investors with their education area that teaches starting investors. Robinhood is a new app but you will need to know what you are doing as not much else is offered outside of a trading platform.
Some people choose to invest through ecn brokers to start earning in stocks.
Trading has become popular. How should you choose between trading and holding stocks long-term?
One important item to understand is people make money by trading through multiple strategies. There is never an easy answer to the question as it will depend on the investor’s style of trading and most importantly their goal. Every trade should have some type of goal in mind, so the trader has a path to follow. Without a goal, a trader is left to guess whether to hold or sell.
Andre Albritton, a graduate of Florida A&M University, has become a nationally recognized investing nerd who trains people on building wealth through the stock market & REITs. He is the founder of The Millennials Next Door, a community dedicated to millennials building wealth to create financial freedom. In addition, Andre created the Flavor Podcast focused on the many different flavors of investing within stocks, real estate, and entrepreneurship. Andre is now a household name for ambitious millennials who are ready to reach and redefine wealth.
Below are some of the previous Entrepreneur Series interviews.