HOW TO TURN $100 INTO $1000 (6 BEST WAYS)
Summary
TLDRIn this video, Graham discusses alternative ways to invest $100 for immediate returns rather than long-term passive income. He suggests investing in education with books like 'Think and Grow Rich' and 'How to Win Friends and Influence People', exploring individual stocks for experience, starting small businesses, flipping items for profit, considering high-risk cryptocurrency investments, and utilizing promotional offers for freebies or bonuses. The focus is on learning and growing wealth through practical experience and smart investments.
Takeaways
- š¼ Invest in education with books like 'Think and Grow Rich', 'How to Win Friends and Influence People', 'The 4-Hour Work Week', and 'Your Money or Your Life'.
- š Consider investing in individual stocks for a potentially higher ROI compared to index funds, especially with a small investment like $100.
- š± Start a small business with your $100, such as lawn care, to gain experience and potentially grow your investment.
- š Explore item flipping as a method to turn a small investment into a larger one by trading up in value.
- š° Look into cryptocurrency investments for high-risk, high-reward potential, but be aware of the possibility of losing your entire investment.
- š Take advantage of promotional offers for free items or services as a way to grow your $100 into more valuable assets.
- š Reading books can provide valuable knowledge that can lead to wealth attraction and efficient work practices.
- š The video emphasizes the importance of gaining real-world experience in managing emotions and evaluating companies when investing.
- š Utilize free resources like YouTube, Reddit, CNBC, and CNN to educate yourself on investing and business strategies.
- š” Creativity is key when starting a business with a small investment; think outside the box for services you can offer.
- š The video suggests that the experience gained from investing $100 wisely can be invaluable for future financial decisions.
Q & A
What is the main idea of the video?
-The main idea of the video is to discuss alternative ways to invest $100 immediately for potentially higher returns rather than the traditional long-term investment in a broad Index Fund.
Why does the speaker suggest not investing $100 in a broad Index Fund?
-The speaker suggests not investing in a broad Index Fund because earning 8% on $100 is not likely to result in a life-changing amount of money and there are strategies that could provide a higher return on investment more quickly.
What is the first book recommendation in the video for investing in oneself?
-The first book recommendation is 'Think and Grow Rich' by Napoleon Hill, which is credited for helping the speaker become who he is today.
How does the speaker feel about the common advice to 'invest in yourself'?
-The speaker initially dislikes the advice to 'invest in yourself' as it's often generic and comes from people selling expensive programs, but he acknowledges that good education can significantly increase one's earning potential.
What is the second book suggested in the video for improving personal skills?
-The second book suggested is 'How to Win Friends and Influence People' by Dale Carnegie, which helps in understanding others' perspectives and improving communication skills.
Why does the speaker recommend buying individual stocks with $100?
-The speaker recommends buying individual stocks because it offers a chance for higher returns and a real-world experience in managing emotions, evaluating companies, and understanding market fundamentals.
What is an example of a small business the speaker suggests starting with $100?
-The speaker suggests starting a lawn care business by buying lawn equipment and offering services to neighbors as an example of a small business that can be started with $100.
How does the speaker relate Warren Buffett's early business to the concept of starting a small business with $100?
-The speaker relates Warren Buffett's early business of buying a pinball machine and setting it up in a barber shop to the idea of starting a small business with a small investment, showing that such strategies can be successful.
What is the concept of 'flipping items' as discussed in the video?
-The concept of 'flipping items' is to start with a low-value item, such as a paperclip, and trade it up for items of increasing value, eventually leading to a significant profit.
Why is investing in cryptocurrency described as the riskiest option in the video?
-Investing in cryptocurrency is described as the riskiest option because it has a high potential for loss but also a high potential for significant returns, making it a high-risk, high-reward investment.
What is the sixth suggestion the speaker gives for investing $100?
-The sixth suggestion is to use the $100 to take advantage of promotional offers for free stuff or sign-up bonuses, which can provide free money or items for trying out new services or products.
What is the speaker's overall goal for someone investing $100 according to the video?
-The speaker's overall goal is for the investor to gain valuable experience and knowledge that will likely lead to making more money in the long term, rather than just hoping for a quick return.
Outlines
š¼ Investing $100 for Maximum ROI
The speaker begins by addressing the audience, expressing a desire to discuss alternative ways to invest a mere $100 with the aim of maximizing returns. They acknowledge their previous video on achieving passive income but suggest a more impatient approach this time. The speaker emphasizes that while $100 may not seem substantial, it can be the starting point for learning investment strategies that scale with more capital. They also make a request for viewers to like the video to support the channel and signal the type of content they prefer. The speaker then dismisses the common advice of investing in index funds for an 8% return, arguing for more aggressive strategies to achieve higher returns.
š Prioritizing Education as an Investment
The speaker advocates for investing in education as the first step, suggesting that it can lead to significant financial gains. They critique the common yet vague advice to 'invest in yourself' and instead recommend specific books that can provide valuable knowledge for under $100. The books recommended are 'Think and Grow Rich' by Napoleon Hill, 'How to Win Friends and Influence People' by Dale Carnegie, 'The 4-Hour Work Week' by Timothy Ferris, and 'Your Money or Your Life' by Vicki Robin. The speaker highlights the importance of these books in developing wealth-attracting habits, communication skills, efficient work practices, and financial independence.
š Exploring the Stock Market with $100
The speaker recommends investing the $100 in the stock market, specifically in individual stocks rather than index funds, to gain practical experience and potentially higher returns. They acknowledge the risks but argue that with only $100, the stakes are lower and the learning experience is invaluable. The speaker suggests using a free stock trading platform to buy fractional shares and to research companies one uses daily. They also encourage viewers to use free resources to educate themselves about investing and to manage their emotions while trading.
Mindmap
Keywords
š”Passive Income
š”Invest
š”Index Fund
š”Return on Investment (ROI)
š”Education
š”Stock Market
š”Lottery Ticket
š”Small Business
š”Flipping Items
š”Cryptocurrency
š”Promotional Offers
Highlights
Investing $100 requires a different approach than aiming for long-term passive income.
Investing in education is a valuable use of $100, with recommendations for specific books.
Think and Grow Rich by Napoleon Hill is suggested for personal development.
How to Win Friends and Influence People by Dale Carnegie helps with communication and collaboration.
The 4-Hour Work Week by Timothy Ferris encourages efficient work and time valuation.
Your Money or Your Life by Vicki Robin introduces financial independence concepts.
Investing in the stock market with $100 is recommended over an index fund for faster returns.
Buying individual stocks can provide real-world experience in managing emotions and evaluating companies.
Starting a small business with $100, like lawn care, can lead to quick returns.
Flipping items, like trading up from a paperclip, is a potential way to grow $100.
Investing in cryptocurrency with $100 carries high risk but also high reward potential.
Promotional offers can provide free money or items, which can be a low-effort way to grow $100.
The goal of investing $100 should be learning and long-term growth, not just short-term gains.
Each investment strategy comes with a lesson that can be applied in the future.
The experience gained from investing $100 is invaluable for future financial decisions.
Transcripts
what's up Graham it's guys here so the
other week I posted a video about how to
make a $100 a day in passive income but
I'll be honest most of that video
assumes a longterm investment consistent
work and slowly building up to an amount
that would actually one day lead you to
making $100 a day but now I think we
should take the opposite approach
because I'm feeling impatient and
instead of focusing on something that
might take you potentially decades to
work towards we should flip the script
and talk about the best ways that you
could begin investing $100 right now
with the expectation of eventually
making a as much money as possible my
thinking is this most likely $100 is an
amount that almost everyone watching
this video has access to so it's worth
going into the best ways that you could
invest that money immediately in such a
way that nearly anyone could do as soon
as this video is over and even though
$100 might not seem like a lot of money
initially it is possible to replicate
some of these strategies whether you
have $1,000 $10,000 or even $100,000
because at the end of the day these
strategies don't change so if you can
get a good grasp on how to invest $100
right now that will be money very well
spent but first I got a huge favor to
ask of you there is a lot of work that
goes into consistently posting three
videos like this every single week on
the channel so if you appreciate them or
find them even remotely helpful just do
me a huge favor and destroy the like
button for the YouTube algorithm that's
it it's totally free to do it helps up
my channel tremendously and it gives me
a good indication of the types of videos
you want to see more of so thank you
guys so much for doing that and with
that said let's get into the video all
right so let's just get this out of the
way this is going to be one of the few
videos where I don't tell you to invest
$100 in a broad Index Fund while you sit
back and collect that sweet sweet 8%
return because here's the thing even
though I'm a huge proponent of the index
fund strategy the reality is earning 8%
on $100 is not going to turn itself into
a life-changing amount of money there
are better strategies out there that
will give you a much higher Roi and a
much faster return which is why I'd
recommend that you buy a lottery ticket
just kidding if a $100 is all that you
have to invest and you know you one day
want to be rolling around in money the
first thing that I would buy is educ
now I've actually grown to really
dislike videos like this which tell you
to invest in yourself because it's
usually the most generic garbage advice
out there coming from someone who wants
to sell you a
$997 program but the truth is good
education can actually make you a
significant amount of money and you can
really buy yourself pretty much
everything you need to know for well
under $100 and these are my
recommendations the first thing I would
do is go and buy the book Think and Grow
Rich by Napoleon Hill this is probably
the first book that I read myself
covered to cover that wasn't for a
school project or Goosebumps and I got
to say I absolutely credit this book for
helping me become who I am today this
book literally gives you the blueprint
of being the type of person who attracts
wealth with solid actionable tips the
entire time plus the 1937 version of
this book is now considered public
domain meaning it's available for free
if you want to read it online so I'll
link to it down below in the description
for anyone who wants to give it a shot
now the second book that I would
recommend is how to un Friends and
Influence People by Dill Carnegie the
reality is no matter who you are what
you want to do on some level you're
always going to be working with or
collaborating with other people and this
book really helps you understand other
people's perspectives while being a
better Communicator at the exact same
time plus there's also some free
audiobook options on YouTube so there's
really no reason not to try this then
the third book I would go and read is
the 4-Hour Work Week by Timothy Ferris
this book really gets you thinking in
terms of how to accurately value your
time how to work as efficiently as
possible and how to maximize how much
money you make so go ahead buy it read
it and at the very least it's going to
make you think outside the box and
finally fourth go and get the book your
life or your money by Vicky Robin for me
this is really one of the first
introductions I ever got to the idea of
financial Independence because this
really helps put it in perspective in
terms of how much our time is valued and
how we should evaluate our expenses in
terms of hours worked and not dollars
spent it really helps paint a different
picture that we should align our
spending in ways that we find the most
valuable to us like of course smashing
the like button for the YouTube
algorithm okay but seriously all four of
those books should easily cost you less
than $50 and I promise if you actually
go through and read all of them it will
be impossible that these books don't pay
for themselves a 100 times over over the
next 10 years then after that the second
investment that you can make with $100
is within the stock market again I know
it's going to sound like I've been taken
over by an alien for saying this but if
$100 is all you have to invest then most
likely you're best off buying individual
stocks now before everyone goes off on
me by saying but Graham you can't go and
get any meaningful returns in the stock
market with only $100 it's too risky
plus you should teaching good habits of
Buy and Hold Index Fund investing okay
fine just hear me out no matter how you
slice it unless you luck into buying the
next GameStop or Dogecoin at the perfect
point in writing it to the moon
investing $100 is most likely not going
to make you a substantial amount of
money and even though I would recommend
an index fund for a consistent long-term
investment if your only goal is to
invest $100 as fast as possible with the
highest possible Roi buying individual
stocks has a lot of advantages that
initially aren't so obvious what you're
going to quickly realize is that it's
one thing to read about the theories of
what you should and shouldn't do when it
comes to investing but I promise you all
of that goes out the window as soon as
you have your own money at stake you're
going to find yourself panicking at the
slightest glimpse of your stock going
down at Price or getting a little bit
too greedy as soon as the stock goes up
faster than you anticipated or getting
impatient if your stock does nothing but
stay flat so I would treat that $100 as
your ticket to getting real world
experience in terms of managing your
emotions evaluating companies
understanding the fundamentals on your
own learning how swing trading Works
learning what all of these terms mean
and just getting a good education of
what it means to be an investor I
promise this is going to be a lesson
you'll be so glad to have had that
experience early on and investing $100
an hour you can make all of your
mistakes ahead of time is going to be a
lot more expensive than losing more
money later on when you're not as sure
of what you're doing now in terms of how
you could get started I would recommend
you use a free stock trading brokerage
that allows you to buy fractional shares
and then from there research the
companies that you use on on a daily
basis you can then utilize all the free
resources on YouTube Reddit CNBC CNN and
so on and absorb as much information as
you possibly can but either way no
matter what platform you want to invest
in with $100 in a weekend of your free
time you could learn so much information
out there that's really going to give
you a great understanding of how to
invest in the stock market then third if
your only goal with $100 is to try to
make as much money as possible as fast
as possible if you're willing to put in
the work you could use that $100 towards
starting a small business like buying la
care equipment and then of course
soliciting your neighbors for a job now
again part of me cringes at the advice
of telling people to go and buy a lawn
mower and go in mol lawn because it's
such cliche advice but the reality is
it's a really viable way to make money
and there's a reason why so many people
say to do this for example here's a used
lawn mower that you could buy for $80
where brand new it's $400 with tax then
you could go and charge $30 an hour for
your time and within an afternoon that
lawnmower is completely paid for and
everything else after that is gravy this
is a same same strategy that Warren
Buffett employed when he was a teenager
believe it or not his first business was
a $25 pinball machine that he set up in
a barber shop in 1946 when he was 17
years old this business was fairly
simple Warren Buffett bought the machine
and negotiated with the store owner his
friend fixed the machine and they split
the profit evenly within a week they had
enough money to go and buy a second
pinball machine and from there the
business grew a year later Warren
Buffett ended up selling that business
for $1,000 all from a $25 initial
investment so strategies like this can
absolutely work even though it's kind of
cheesy to go and think about investing
$100 into buying Lawn Care Equipment
just think outside the box and get
creative with what you have to offer
maybe it's car washes shoveling snow
mowing lawns cleaning windows just think
of things that you could do with $100
and then go for it and I got to say if
you put in the time there's no other
investment out there like this that will
pay for itself so many times over after
that fourth we have another one that's
been glamorized by so many YouTube and
Tik Tok videos and that would be
flipping items this is the the idea that
you could take something small like a
paperclip and slowly flip that into
something of value like a house and if
you think that's impossible then just
consider this there was a story a few
months ago about a woman who started out
with a bobby pin eventually traded up to
a vacuum cleaner to a snowboard to
headphones to camera equipment to a car
and eventually to a small trailer cabin
getting started with this is incredibly
easy too here in the US Craigslist
offers what's called a free section
where everything is a low cost of $0
just go and pick it up for free and from
there ready to sell it to someone else
for a profit like here's a totally free
granite counter in sync just pick it up
take some better pictures and relist it
somewhere else for $100 your initial
investment is going to go a long way in
terms of paying for the cost of Labor
and gas to go and pick it up and
everything after that is profit this
strategy was also a favorite of Gary ve
who had talked Non-Stop about this a few
years ago as a way to make money for
absolutely free and the entire point of
this was that almost anyone has access
to make it work as long as you're
willing to put in the time plus it's
going to give you a really valuable
experience in terms of learning how to
Value an item how to Market a product
how to work with other people and how to
negotiate so you get a fair price for
what you have to offer then if you want
to take this up a notch you could also
buy items on eBay that you know are
worth more money that you could then
relist and sell later for a profit now
even though you're going to have to be
mindful of eBay fees and shipping cost
if you know what to look for you can
absolutely make money doing this with as
little as a $100 after that number five
we have the riskiest of all of them the
one that would scare a lot of people and
that would be using $100 and invest in
cryptocurrency see here's the thing
anytime you invest your money there's
certainly a risk versus reward ratio
that you have to consider like basically
the amount of money that you could make
is directly correlated with the
likelihood that you might lose
everything for example throw $100 in an
index fund and the chances of you losing
any money over 20 years after inflation
is pretty much non-existent but put that
same investment into cryptocurrency and
you could either have thousands tens of
thousands or even millions of dollars or
absolutely nothing that's why the
greater the chance that you have of
losing money the more upside there is to
gain and that's where cryptocurrency
comes in even though I'm rather
optimistic about Bitcoin and ethereum
and $100 invested in Bitcoin in 2009
would now be worth over $50 million
today finding the next Bitcoin or any
other currency that would see a similar
sort of return is really just like a
shot in the dark but if you believe in a
particular project or you have one type
of currency that you want to invest $100
into it has the chance to do well even
though you have a risk of losing all of
it and for every great Bitcoin and
ethereum out there there's a bit connect
that went completely bust when it was
discovered it was a giant Ponzi gem
however if you do your research and
you're familiar with what's being
offered I'm sure over the next 10 years
this is really just the beginning even a
$100 investment in Dogecoin 2 years ago
would now be worth $10,000 today and
even though those ones are certainly
anomalies who knows what the future
holds so if you want a high-risk High
reward way of investing $100 while
getting the experience of researching
different projects along the way this is
certainly a viable option and lastly
number six you could use your $100 and
hustle promotional offers for free stuff
here's the thing businesses will often
give you free money or free stuff just
for signing up and trying them out it's
their way of paying for marketing except
instead of paying an Advertiser to run
an ad in front of you they just choose
to give you that money instead and then
it's a win-win scenario for everybody
this is something I still do all the
time if a bank account offers me a sign
up bonus or a new credit card gives me a
whole bunch of points or if a company
offers money back using a referral link
I go ahead and do it because in my
opinion it makes sense to get something
for free that I was planning on doing
anyway there's also plenty of examples
of other brokerages doing this you can
literally just go down the list getting
a whole bunch of free stocks in the
process for really just a few minutes of
your time and even though now we get
into the more than $100 category there
are so many other promotional offers out
there that could pay you a significant
amount of money for example signing up
for a credit card spending $500 in the
first three months and they will give
you back $200 on a credit card that cost
you absolutely nothing to open and keep
active I would do this all the time and
open up multiple credit cards s every
single year just because I wanted the
sign up bonus so if you have the spare
time and don't mind using $100 to take
advantage of some of these promotional
offers this could be a great way to
eventually build up to $1,000 at which
point you're going to have more money to
reinvest elsewhere and really at the end
of the day those six ways of investing
$100 should really be used towards
education which will stay with you for
the rest of your life or be used in such
a way that will grow to a larger amount
where it will eventually have more of an
impact the goal with this one shouldn't
necessarily be to pick the riskiest
thing you possibly can with the highest
upside and then hope for the best like
going and buying a lotto ticket but
instead spending it on something that
you could learn from that gives you a
great experience with a high likelihood
of making you more money long term all
of these options in my opinion would
give you a really great starting point
and really no matter what happens long
term to that $100 I promise you it's
going to be such a great experience that
will stay with you for the rest of your
life so with that said you guys thank
you so much for watching I really
appreciate it as always make sure to
destroy the like button subscribe button
and notification Bell also feel free to
add me on Instagram I post pretty much
daily so if you want to be part of it
there feel free to add me there as my
second channel the gram Stefan show I
post there every single day I'm not
posting here so if you want to see a
brand new video for me every single day
make sure to add yourself to that thank
you guys so much for watching and until
next time
Browse More Related Video
Should You Borrow Money To Invest | Leverage Stocks
Š§ŠµŃŃŠ½Š¾ Š¾ ŠæŠ°ŃŃŠøŠ²Š½Š¾Š¼ Š“Š¾Ń Š¾Š“Šµ: ŃŃŠ¾ ŃŠ°Š±Š¾ŃŠ°ŠµŃ ŃŠµŠ³Š¾Š“Š½Ń Š½Š° ŃŠ°Š¼Š¾Š¼ Š“ŠµŠ»Šµ?
What To Focus On To Make $1 Million Dollars in 90 days | Grant Cardone
ALL Expenses Covered By Passive Income? (Expense Management for FIRE)
How To Make $3,000/Month In Dividends With Only $25/Week š°
Basics of Investing
5.0 / 5 (0 votes)