First time investors always make the same mistakes. If you can avoid these, you are a step ahead:

• create unrealistic expectations for growth- you can expect to grow your investment at about 7% per year. That means with compunding, you can expect your money to double every 10 years. So if you invest $100, you will have $107 after a year and $200 after 10 years.

• think some tiny stock a friend tells you about is going to make you a ton of money- it is very unlikely any stock you pick is going to make you more than the S&P 500 over 10 years. Don’t delude yourself into thinking investing is as easy as hearing about a company that will grow and simply holding the stock. It doesn’t work like that.

• listen to “talking heads”- guys on the TV are trying to sell you something, not help you become wealthy. In every case, without exception, they are trying to get your money. They want to sell you a subscription, a service, a book, whatever. Don’t follow their “advice.” You will be more stressed and no richer after having followed it.

Avoid these mistakes. Most beginners won’t, and they will not be investors for long. Investing is a long game. You win when you stop working long before your friends and dont worry about covering living expenses.