ATTENTION ALL GRANDPARENTS
(And anyone else with limited funds to invest)
So about 2 1/2 year's ago (July the 4th, 2023 to be exact). I decided to set up a share fund for my two grandchildren. Why? Well as a parent I tried to do it for my three children when they were young, but things always came up and needed money. I figured this was the same for my daughter, and frankly I'm 55 now, my daughter is 25, and I'm way more disciplined.
So 2.5 years ago I put $100 into separate brokerage accounts for both grandchildren, every single week since, a mere $5 goes in. Not a significant sum at all. and birthdays and Christmas a bit xtra.
the litte ones were under 5 when I started so that determined my investment thesis. Mainly dividend growth stocks, not great dividend returns sort term, slow capital growth, but impressive long term dividend growth. Plus an tiny element of things a five yo could understand like $McDonald's(MCD)$.
With a 60+ year time horizon, safe dividend growth stocks make a lot of sense. But also a few insane growth stocks like $Rocket Lab USA, Inc.(RKLB)$ and $Palantir Technologies Inc.(PLTR)$.
so how have their portfolios gone? Both are not in all the same stocks, but like stocks in the same sectors. For example Lowe's for one, Home Depot for the other, and so on. So I have put in a total of around $1200 so far, and both their portfolios are worth about the same, around $3,000.
For everyone who is investing for themselves. This article is a case in point, that we have to start now. Don't focus on your portfolios being $100,000 or a million. That's just crushing. Focus on consistently Investing small amounts every paycheck. Be excited by smaller milestones, like reaching $1000, then doubling it to $2000, and so on.
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