A short conversational excerpt from a YouTube video where Ndubuisi 'Andy' Egwim and another speaker discuss risks of investing in single companies versus index funds. They argue that individual stocks can go to zero while the S&P 500 crashing would imply systemic collapse (e.g., societal breakdown), making investment loss a secondary concern; they also note inflation makes simple cash savings insufficient.
If you go for one company then this company alone yes can go to zero.
Okay I mean I've got a way to think about index fund people are afraid to invest in the stock market which is very costly mistake isn't it? Because just saving money inflationary road seed bonds is not enough because of inflation the way I think about it is this the top 500 companies in the S P500 yeah quite a lot of them are day to day lives if it goes to zero I mean they all collapse on the same day then you've got more things to worry about not your investment, not your money. How about my safety there being a zombie apocalypse or the world coming to an end Is there even light? Is there even safety? Is there even you know basically energy supply? So my worry at that point if it does happen will not be about oh my investment returns is probably are we safe here.
