I always get messages like “Should I be worried because a recession is coming?” or “This expert on TV says we’re going to have a crash this year, what should I do?”.

Well I have a very important message to you: NOBODY KNOWS WHAT’S GOING TO HAPPEN NEXT. When someone asks me a question like above I ask for the source and the track record of whoever is making the prediction. They never know. So HERE ARE YOUR RECEIPTS.

A year ago the best and brightest minds at eight of the biggest financial institutions in the world carefully put together their forecast for the following year. It painted a pessimistic picture. The average prediction of the eight was a stock market gain of a paltry 1.25%. Three of the eight were actually predicting a decline in the market.

What actually happened in 2024? The market went UP by TWENTY-FOUR PERCENT. The average of the experts was off by TWENTY-THREE PERCENT, or essentially the whole thing. These nonsense predictions by the speculators are to be flatly ignored.

So what is going to happen to the market this year? Let me be very clear about this because I’m sure about my answer: I HAVE NO IDEA. Anyone who says they do is not to be trusted.

Since we don’t know what’s going to happen this year, what do we do? I’m also sure of this answer: Invest early and often. Buy and hold for a long time. Long hold times result in virtually guaranteed gains and eventual massive compound growth. Long term buy and hold is the path to wealth. Short term fear, trading, thrashing, and speculation is a great way to dramatically underperform the stock market.

As always, reminding you to build wealth by following the two PFC rules: 1.) Live below your means and 2.) Invest early and often.

-Jeremy