Change takes time, whether you’re learning new skills, shifting your perspective, improving your health, or breaking a bad habit.

Real change often comes with isolation. Sometimes you have to distance yourself from the people, from what’s comfortable, and things that encouraged what was breaking you down in the first place.

“Successful investing is about time in the market, not timing the market.” – Peter Lynch

1. Know what you own — and why you own it. Before buying any stock, you should be able to explain what the company does, how it makes money, and exactly why you are investing in it in a simple, two-minute monologue. If you can’t explain it to a 10-year-old, you shouldn’t own it.

2. Understand the finances before you invest. Never invest in a company without understanding its finances. Specifically, check if the company has too much debt. Companies with plenty of cash and little-to-no debt almost never go bankrupt, giving them the ultimate “staying power” during economic downturns. The biggest losses in stocks come from companies with poor balance sheets. Always look at the balance sheet to see if a company is solvent before you risk your money on it.

3. Brainpower isn’t the problem — stomach is. Everyone has the brainpower, but not everyone has the stomach. An investor’s temperament matters far more than their IQ. The market will inevitably experience downturns and sell-offs. If you are prone to panicking and selling everything when the market drops, you should avoid individual stocks entirely. If you sell stocks in panic, the stock market is not for you.

4. Your edge comes from what you already know. Your investor’s edge is not something you get from Wall Street experts. It’s something you already have. You can outperform the experts if you use your edge investing in companies or industries you already understand. Wall Street analysts are often the last to find great local or niche businesses. As a consumer, employee, or industry specialist, you see trends, popular products, and busy local stores months or years before the professionals do. Use this firsthand knowledge to find potential investment ideas.

5. Beat the market by ignoring the herd. The stock market has come to be dominated by a herd of professional investors. Contrary to popular belief, this makes it easier for the amateur investor. You beat the market by ignoring the herd. Nobody can reliably predict interest rates, the direction of the economy, or where the stock market will go next week. Trying to time the market based on macroeconomic predictions is a fool’s errand. Focus entirely on what is happening to the specific companies you own.

“Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been lost in corrections themselves.” – Peter Lynch

6. Long-term stock success follows company success. Often, there is no correlation between the success of a company’s operations and the success of its stock over a few months or even a few years. In the long term, there is a correlation between the success of the company and the success of its stock. This disparity is the key to making money — it pays to be patient, and to own successful companies.

“I’ve never met anyone who can time the market. In fact, I’ve never met anyone who knows anyone who has ever successfully timed the market over the long term.” – Jack Bogle

7. Avoid hot stocks in hot industries. Avoid hot stocks in hot industries. Great companies in cold, non- glamorous industries are where the real finds are. The most hyped stocks in rapidly growing, glamorous industries are often the ones that collapse the fastest. Lynch preferred boring, overlooked companies in slow-growth or “cold” industries. They face less competition, have room to dominate, and are usually priced much more reasonably.

8. Corrections are opportunities, not disasters. If you’re prepared, corrections can’t hurt you. Corrections are great opportunities to pick up the bargains left behind by investors who are panicking. A stock market decline is as routine as a winter blizzard. If you expect it and prepare for it, it can’t hurt you. In fact, market corrections are the perfect time to buy great companies at bargain-basement prices from panicked sellers.

9. Study more companies — find more winners. If you study 10 companies, you will find 1 for which the story is better than expected. If you study 50, you’ll find 5. There are always pleasant surprises to be found in the stock market. It is easy to view stocks as mere blips on a screen or tickers that go up and down. Lynch constantly reminds investors that a stock represents partial ownership of a living, breathing business. If the business does well, over the long term, the stock will follow.

10. Time is on your side with great companies. Time is on your side when you own shares of superior companies. You can afford to be patient — even if you missed WalMart in the first five years, it was a great stock to own in the next five years. Truly life-changing wealth isn’t made overnight; it typically takes 3 to 10 years for a great company’s story to fully play out. Be patient. If the business fundamentals remain strong, let your “winners” run rather than selling them early to lock in minor gains.

The bottomline: do your homework, invest in what you understand, be patient, don’t try to time the market, and don’t let emotions drive decisions. Lynch’s edge was always bottom-up research, not macro predictions — which is why these rules hold up 30+ years later.

Trump Account is a tax-deferred custodial investment account for U.S. citizens under the age of 18.

The landscape of American family savings just underwent a massive shift. In July 2026, the federal government officially launched Trump Accounts (technically known as 530A accounts under the Internal Revenue Code). Authorized under the One Big Beautiful Bill Act (OBBBA), these new financial vehicles are designed to give the next generation a head start on building wealth through long-term stock market investing.

Whether you are a parent looking to maximize your child’s future or simply trying to make sense of the latest economic policy, here is a complete breakdown of how Trump Accounts work, who qualifies, and the debates surrounding them.

What is a Trump Account?

At its core, a Trump Account is a tax-deferred custodial investment account for U.S. citizens under the age of 18. Think of it like a traditional IRA, but built specifically for minors.

The defining twist? For children born during a specific window, the government provides the initial cash.

The main goal of the legislation—originally championed by Senator Ted Cruz—is to expand stock ownership to a broader segment of the population, effectively turning millions of young Americans into shareholders from an early age.

The Key Rules and Limits

If you are considering opening an account via the official portal at ⁠TrumpAccounts.gov⁠ or through the newly released mobile app, keep these rules in mind:

The $1,000 Government Seed: Children born between January 1, 2025, and December 31, 2028, are eligible to receive a one-time $1,000 automatic deposit from the U.S. Treasury.

The Dell Foundation Match: For up to 25 million children aged 10 or younger who were born before 2025 and live in qualifying lower-income ZIP codes, the Michael & Susan Dell Foundation is funding a $250 charitable deposit.

Contribution Limits: Parents, grandparents, friends, and even employers can contribute to the account. The annual contribution limit is $5,000 per child (with employers capped at $2,500 per year).

100% Equity Focus: Unlike a standard bank savings account, Trump Accounts cannot hold cash or money market funds. The money is strictly funneled into broad-market index funds (like S&P 500 trackers) managed by private institutions like State Street and BNY Mellon to maximize long-term compound growth.

What Happens When the Child Turns 18?

Once the child reaches 18, control of the account officially transfers to them, and the account morphs into a traditional IRA.

The funds grow entirely tax-deferred during childhood. However, when withdrawals are eventually made, they are taxed as ordinary income. Tapping into the money before age 59½ for non-qualified reasons triggers a standard 10% IRS penalty, though exceptions exist for higher education expenses, a first-time home purchase (up to $10,000), or disability.

The Debate: Pros vs. Cons

Like any major policy, Trump Accounts have sparked significant debate among financial analysts and the public.

The Pros:

The Power of Compounding: By forcing funds into equity markets for 18+ years, the policy ensures that even the base $1,000 government seed could realistically grow to around $6,000 by adulthood without another dime added.

Financial Literacy: The official app includes built-in financial education modules to teach parents and kids about diversification and compound interest.

Corporate Match Incentives: Dozens of private companies have already pledged to contribute to their employees’ children’s accounts as an added workplace benefit.

The Cons:

Not Enough to Cure Poverty: Critics note that while the $1,000 seed is a helpful cushion, families living paycheck-to-paycheck cannot afford the $5,000 annual max required to build true generational wealth.

The “Trump” Branding: Some financial advisors note a reluctance from left-leaning families to participate simply because of the highly politicized name stamped onto the program and the mobile app.

FAFSA & Financial Aid Pitfalls: Because the account is held strictly in the child’s name, under current rules, withdrawing the money for college tuition counts as student income—which can heavily penalize a student’s eligibility for federal financial aid.

The Bottom Line: If your child qualifies for the free $1,000 federal seed or the $250 Dell Foundation grant, there is very little reason to leave free money on the table. However, if you plan to contribute your own hard-earned cash on top of that, you should carefully weigh a Trump Account against traditional options like a 529 College Savings Plan or a standard Roth IRA to see which tax structure fits your family’s unique goals.

“The smartest investors look beyond the obvious choices, like hyper-scalers, and are thinking outside the usual suspects.”

Chamath Palihapitiya is a Sri Lankan-born Canadian and American venture capitalist, entrepreneur, and former tech executive.

He is best known for his early leadership role at Facebook, founding the investment firm Social Capital, popularizing the Special Purpose Acquisition Company (SPAC) boom, and co-hosting the popular tech and business broadcast, the All-In Podcast.

Like Chamath Palihapitiya, the smartest investors look beyond the obvious choices and are thinking outside the usual suspects. More specifically, -Palihapitiya is thinking about the nuts and bolts required to build a data center or design a graphics processing unit (GPU) from the ground up.

Palihapitiya’s grand prediction for 2026 is to invest in precious metals — specifically, he calls out copper as his asset of choice.

Why is copper important for AI?

One of the biggest pain points from rising AI investment lies in the power grid. According to a study from the Pew Research Center, data centers consumed 4% of the total electricity in the U.S. in 2024. By 2030, data center electricity consumption is expected to rise by more than 130% from current levels.

As AI workloads grow, training and inferencing protocols become even more mission-critical. Clusters of GPUs inside data centers are only going to continue to push the limits of power loads. This paradigm is what makes copper so valuable.

Copper is a conductive material — manifesting on every chip and server rack through which electricity is moving. As hyperscalers continue to accelerate capital expenditures (capex), expect additional capital to be allocated to both chip procurement and energy infrastructure in the coming years. In fact, it’s already seeing this play out.

Source: Billionaire Chamath Palihapitiya Says This Is the Best Artificial Intelligence (AI) Investment for 2026 (Hint: It’s Not Even a Stock) | The Motley Fool, https://www.fool.com/investing/2026/01/20/billionaire-chamath-palihapitiya-says-this-is-the/

What you don’t know can cost you.

What you choose to learn can change your life.

Knowledge empowers you to see value where others don’t, make wiser choices, and create better opportunities. Keep learning—it always pays off.

Wall Street Journal / David G. Santry / April 20, 1981

A must-read Warren Buffett letter on inflation investing

“In the 16 years since present management assumed responsibility for Berkshire, book value per share with insurance-held equities valued at market has increased from $19.46 to $400.80, or 20.5% compounded annually. (You’ve done better: The value of the mineral content in the human body compounded at 22% annually during the past decade.)” Such is the inimitable style with which Chairman Warren E. Buffett of Berkshire Hathaway Inc. writes his annual letter to shareholders, which appears, along with details of his investment acumen (table), in the recently issued annual report of the conglomerate that he runs from Omaha.

Buffett, 50, is widely regarded as one of America’s finest investors. Clearly, he is also one of the most penetrating observers of the country’s business and financial scene. Year in and year out, Buffett’s shareholder letters have been carefully read by investors. This year’s letter should be no exception. It deals with, among other things, accounting, inflation, and the property and casualty insurance industry.

Berkshire, being basically an insurance company, makes investments in other companies. Generally, if Berkshire owns less than 20% of a company, it can include in its earnings only dividends received on the stock. Says Buffett: “Many of these companies pay out relatively small proportions of their earnings in dividends. This means that only a small proportion of their current earning power is recorded in our own current operating earnings.” Buffett explains that the portion of earnings not paid out in dividends by the companies last year exceeded Berkshire’s total reported operating earnings. Conventional accounting allows “less than half of our earnings ‘iceberg’ to appear above the surface,” he says.

Stock repurchases. “We would rather have earnings for which we did not get accounting credit put to good use in a 10%-owned company by a management we did not hire,” says Buffett, “than have earnings for which we did get credit put into projects of more dubious potential. . . . Our insurance companies will continue to make large investments in well-run, favorably situated, noncontrolled companies that pay out in dividends only a small portion of their earnings. We would expect our long-term return to continue to exceed the return derived annually from reported operating earnings.”

One use of retained earnings that Buffett favors is a company’s repurchase of its own shares. “If a fine business is selling in the marketplace for far less than intrinsic value, what more certain or more profitable utilization of capital can there be than significant enlargement of the interests of all owners at that bargain price? . . . The auction nature of security markets often allows finely run companies the opportunity to buy portions of their own businesses at a price under 50% of that needed to acquire the same earnings power through the negotiated acquisition of another enterprise,” he says.

Inflation, however, makes investing all the more difficult, according to Buffett. “High rates of inflation create a tax on capital that makes much corporate investment unwise. . . . At present inflation rates, we believe individual owners in medium or high tax brackets should expect no real long-term return from the average American corporation. The average return on equity of corporations is fully offset by the combination of implicit tax on capital levied by inflation and explicit taxes levied on dividends and gains in value produced by retained earnings.”

Lost options. Buffett also has some sober thoughts on the property and casualty insurance business, which is in a down phase of its underwriting cycle. He takes issue with those in the industry who minimize the problem of having huge amounts of bonds in their portfolios that are selling below cost (page 98). Indeed, many large companies have no net worth when bond holdings are valued at the current market price. Yet many in the industry say that as long as the bonds do not have to be sold, there is no problem. Buffett contends that under such circumstances investment options disappear, perhaps for decades. “When large underwriting losses are in prospect, it may make excellent business logic for some insurers to shift from tax-exempt into taxable bonds,” he says. “Unwillingness to recognize major bond losses may be the sole factor that prevents such a sensible move.”

But unrealized bond losses have other serious consequences. The losses can force a company into disastrous price-cutting just to maintain cash flow to invest at current high rates of interest while hoping for an improvement in underwriting and bonds.

Still, owing to Buffett’s investing, Berkshire prospered in 1980. Operating earnings increased 16% to $41.9 million, and Berkshire’s return on equity was 17.8%. Net earnings per share, including investment gains, jumped 24% to $51.72. Berkshire’s performance is reflected in its stock, which recently traded at $495 a share, a premium over book value. In 1977, the shares traded at $82. (Buffett owns nearly half of Berkshire’s 1 million shares.)

Buffett does not pretend to be an oracle. He writes: “Short-term forecasts of stock or bond prices are useless. The forecasts may tell you a great deal about the forecaster; they tell you nothing about the future.”

Berkshire’s stock portfolio

Thousands of dollars

<small>Data: Berkshire Hathaway Inc.’s 1980 annual report</small>

102 BUSINESS WEEK: April 20, 1981 FINANCE