Welcome to the Money Tree Investing Podcast.

Stock market, wealth, personal finance, value stocks, invest in your life.

Welcome to this week's episode of the Money Tree Investing podcast.

This week we have Dan Egan from Betterment.com.

He's here to talk to us a little bit about investing and fear and how you can get over your fears of investing and move forward and do a better job.

Thanks for joining me today, Dan.

My pleasure. Thanks for having me. Yeah. So first of all, let's talk a little bit about why

people get scared of investing. It's one of those things that almost everyone seems to be

afraid of. So why is it so scary? Great question. I think there are a couple of different sources of the fear.

The first one of them being that, you know, investing involves a combination of things that we generally dislike and look to avoid.

It involves risk, so the potential that we're going to lose money.

It involves a lot of complicated terms and jargon that we kind of feel like we have to learn

before we're at a high risk of making a mistake in terms of what we invest in.

There's things about, you know, volatility and stocks and bonds and ETS and mutual funds.

So it feels like there's a really high hurdle in terms of a learning curve just to get to the point where you're comfortable with it.

Finally, there's just the fact that a lot of what we hear about in terms of investing

focuses on the downside rather than the upside. Very rarely do you hear

about, you know, the stock market may slow and steady gains over the course of two decades,

despite the fact that that's generally what we see. However, you do often hear, you know,

like stock market loses 5% in one day.

They never report on the fact that it really jumps back 6% the next day.

And finally, a lot of the way our sort of emotions and how our emotions motivate us are set up to make us fear investing over the long term much more than over the short term.

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