Financial Advisors React to Financial Advice on YouTube!

Fresh out of the content room, we've got some other financial YouTubers for us to react to. And, Brent, I am so excited to see what the content team has in store for us today. Let's dive right in. This chart shows the percentage of periods where investors earned a positive return by a variety of different holding periods. Over short term holding periods like one day, two months, or three months, the odds of the Well, probably not. Stock market are slightly better than the coin flip. You extend that out to holding periods of one year, two years, or three years, your odds start to improve all the way up to about 75%. Once you start to buy and hold for a multi year period such as five years or ten years, your odds improve greatly to nearly eight or nine chances out of 10. And if you increase your holding period to all the way to twenty years, your odds of making a total positive real return in the stock market are 100%. Now Wall Street traders are forced to focus their time and attention over here. However, if you're an individual that can invest with a long term mindset, your odds of making money in the market can improve substantially simply by holding on to stocks for a longer period of time. Hey. And, Beau, you know something we know? If you add diversification on top of this Mhmm. You can actually push that years to to take it to a 100% even lower. That's right. We know in in finance, nothing is guaranteed. However, man, if you can stretch out your timeline, there is a high probability of success that you will have a favorable investing outcome. But it's like you said, you have to give it enough time. You have to not focus on the short term. Because in the short term, it can be a little frenetic. It can be volatile. It can be all over the place. But if you stretch it out, it's a pretty smooth ride. Four things that broke people buy that wealthy people don't. Number one are lottery tickets. So a bank rate study found that US households with incomes under 30 k spent an average of $412 per year on lottery tickets. I didn't know. Is that right? Which is four to five times the amount spent by households earning over 75. That's a how about 400 times? Buy lottery tickets, lower income houses spend a much larger percentage of their income chasing an improbable win. Number two are extended warranties. So when you're at Best Buy and they try to sell you that $200 extended warranty on a $500 TV, do not buy these. In general, they are just not worth the money, and they often will have exclusions, and they might not even cover the repairs for the damages that happen to your product. Statistically, these warranties make profits for the store, not the customer, …