I'm 21 and I've been aggressively investing in ETFs for about 3 years now. I'm curious about next steps.
Should I continue investing in ETFs? Should I deviate and consider stock picking?
And if I should pursue the latter, how do you pick your stocks? What has worked for you and what hasn't? What are the best channels to educate yourself about certain companies and overall market trends?
I'd love to hear any thoughts! Thank you. 🙂
*Small clarification to the above. I'm based in Australia. We unfortunately do not have a Roth Ira equivalent. We have something similar to a 401(k) via superannuation accounts which are managed by employer chosen superannuation funds.
Invested in only ETFs. Do I need to do anything else?
byu/Difficult-Ad6291 inpersonalfinance
Posted by Difficult-Ad6291
4 Comments
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You are fixated on ETFs, but that’s not the right question. The first question is what kind of account are the ETFs in, and is that the right kind of account for your sitaution? (Roth IRA, 401K, taxible brokerage account)
The second question is what *specific* ETFs do you hold, and are those correct for your investing goals for your age and situation?
In general, ETFs are fine for the vast majority of investors, but there are other factors you need to get right first.
At 21, sticking with ETFs is smart – you’re basically letting compounding do its thing with minimal stress. Stock picking can boost returns, but it’s riskier. If you try it, focus on what you understand, strong fundamentals, and keep positions small. Track your wins and losses.
A solid approach: core in ETFs, small high-conviction stock bets. Experience + compounding > trying to time the market perfectly.
you dont need to pick stocks. if you are curious maybe allocate a small percentage to learn but keep most in ETFs for long term stability