Smart Women Invest In Stocks!

Published by Linda Brown on

Smart women know the rewards of investing in stocks! Intelligent women are fully aware that stocks offer them the “highest” returns on their money! These women know that, historically, no “other” investment has ever beaten the long-term returns on stocks! 

For example, the average annualized return of the “S&P 500 Index” was about 11.69 percent from 1973 to 2016. This index represents the common stock of large-cap companies. It is an indicator of how the overall U.S. stock market is doing.  An investor can invest in the S&P 500 through either a mutual fund or ETF.  A good low-cost index fund to invest in would be the Vanguard 500 Index Fund (VFINX).  This fund invests nearly all of its total capital in stocks that are included in the S&P 500 Index. 

Smart women are not willing to keep their “hard-earned” money in cash instruments, such as traditional savings accounts or CDs at a bank.  They know that banks today offer “meager” returns on cash vehicles! As of this writing, online banks are only offering a maximum return of 2% and this is with a large minimum deposit! After backing out an average of 3% inflation and, also, taxes smart women know that saving this way would earn them nothing!  It would only serve to put them in the “hole” financially! 

The intelligent woman, also, is not willing to invest in bonds.  She knows that investing in bonds would offer her “lower” returns than stocks long-term.  For instance, as of this writing, a 30-year Treasury bond only offers 2.75%.  Bonds are also not risk-free contrary to popular beliefs.  (See my article on:  “Is Investing In Bonds Risky?”).  These investment instruments carry default and interest rate risks.

The smart woman educates herself on how to invest in stocks by reading everything she can pertaining to stocks.  Armed with the knowledge she obtains she opens a brokerage account and begins investing. Intelligent women know that when it comes to their money: “Knowledge is Power!”  And, today, with modern technology, all the information women need to research a company’s stock can be “easily” accessed online. 

Many smart women choose their “own” stocks.  They are “Do-It-Yourself” investors.  Intelligent women trust their judgment and prefer to pick their own stocks rather than pay someone else to invest for them.  Moreover, it is possible for an intelligent woman to beat the returns of the “S&P 500 Index!”

After buying their stocks smart women don’t monitor their stocks on a daily basis.  They are confident in their stock picks and only monitor their investments “periodically.”  This alerts them to any changes in the company’s stock. 

In conclusion, smart women invest in stocks!  They know the rewards of growing their money long-term by investing in stocks. Intelligent women take the time to educate themselves on how to invest.  Studies have proven that women make great investors!  Women have the natural inclination to invest in stocks. 

Be sure to read my articles on how to invest in stocks and I will assist you on your exciting, and very profitable, journey into the world of stock investing!

Linda Brown

I'm an Accountant, Blogger & Investment Consultant with a "Bachelor of Business Administration"degree. Teaching women how to invest in stocks successfully! Men welcome!