curious builders

Own the Best Companies in the World

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Imagine you could own a piece of the best companies in the world. That would be pretty amazing, right?

Well, you can. That’s what stocks are.

When you buy a stock you purchase fractional ownership of a corporation. Lots of pundits would like to complicate this — and sure, there are lots and lots of details — but at the core, you buy ownership. And ownership entitles you to a share of assets and profits.

In the indie hacking community I see people selling and buying small micro SaaS websites. Buying a small website and scaling it up certainly has big upside potential. If you know what you are doing.

But with a bigger upside also comes more risk. If you have the skills, knowledge, and time to scale up small websites, great. By all means do that. It’s a good strategy.

But most of us don’t have the experience to be able to successfully do this. Or we don’t have the time, energy, or drive. Luckily for us, we can invest in proven and profitable companies instead.

We can own the best businesses in the world. You can pick the ones you like, or better yet, invest in an index fund. Investing in any of these has never been easier — just a few clicks on a computer screen or mobile app and you can become a shareholder of the world’s top companies.

Pretty neat? I think so.

Unfortunately, few people pay any attention to this. It seems too scary, too confusing, too risky, not worth it, etc…

I was like that just a few years ago. But since I learned about it I have made more money with this than any other project outside work.1

Investing in the stock market is the best financial decision I have ever made. It has incentivized me to learn more about my own personal finance and how the world of money works (still lots to learn). Finally, it is also kinda fun. Owning shares of the economy is interesting. Knowing that you have a small upside in new breakthroughs is exciting.2

If you are interested in learning more, this is a good place to start. It doesn’t have to be more complicated than that.

Footnotes

  1. Most of my money is still invested so technically I should not count any gains yet. But just the act of saving more and investing that has yielded more than anything else I have ever done.

  2. Just make sure to keep your excitement in check. You can play around with a small portion of your portfolio — but know that you will most likely make dumb mistakes and lose money on these trades. Pick safer opinions for the majority of your investments.