SAN DIEGO (KGTV) – Money — it’s printed in many places from Germany to Taiwan to Mexico, and of course, here in the United States.
Plenty of people are protective of it or maybe answering the bell to invest it.
“If you are trying to stay ahead of inflation and trying to stay ahead of rising prices above you, a great way to stay ahead of that is by investing,” Ryan A. Hughes, the founder and portfolio manager of Bull Oak, said.
Bull Oak is a wealth management firm here in San Diego County.
“It depends upon their own personal risk tolerance. When you are investing in the markets, you have to be willing to invest for the long term. Patience really is the key,” Hughes said.
People may want to take the traditional route and put their money on Wall Street or invest in cryptocurrency.
Hughes said something things to check off your list before you even think about investing is having an emergency fund squared away and not having credit card debt.
“The best time to invest is looking at history as today. Like that is always going to be the best time,” Hughes said.
ABC 10News asked Hughes why some of his clients might be investing one way of the other.
“They really fall under two different reasons. One is you invest in the traditional market to prepare for the future. But, I think a lot of people are investing in crypto because there’s a building distrust in our governments.”
Now crypto, like Bitcoin, is a digital currency that works independently from governments or a central bank.
Hughes told ABC 10News a worry about a devaluation of the U.S. dollar is a reason why some might be going with crypto.
“You have to be very careful where you’re actually putting your money. Do your research. Do your homework because not all are equal,” Hughes said.
He said it’s also a lot more volatile than stocks.
“Stocks, typically, whenever there’s a pullback, it’ll pull back by 25 or 30 percent. Whenever crypto pulls back, it’ll pull back 70 to 80 percent,” Hughes said.
Now, no one is telling you what to do with your hard-earned money.
If you’re unsure of which route to go, Hughes added, given how new crypto is, it’s unclear what the long-term outlook of the assets is compared to the traditional market.
“I would say you’d want to size your bets accordingly. You’d want to put the bulk of your lion’s share in something that is proven and maybe a small dabble amount into something that is not quite proven yet,” Hughes said.
