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Sound Advice: August 20, 2025

Why you should ignore commercials about investing 

Ignoring commercials about investing is often a wise move, and here’s why:

1. They’re Sales Pitches, Not Financial Advice

Commercials are designed to sell — not educate.  Whether it's a brokerage, crypto app or a “miracle” stock-picking service, their primary goal is to get your money, not help you build long-term wealth.  They're advertising, not advising.

2. They Oversimplify Complex Decisions

Investing is deeply personal and depends on your goals, risk tolerance, time horizon, and financial situation.  A 30-second ad can’t possibly account for that.  They make it seem easy, but real investing requires thoughtful planning and understanding.

3. They Prey on Emotion

Commercials often use fear of missing out (FOMO), urgency (“limited time offer”), or dreams of quick riches.  This emotional manipulation pushes impulsive decisions — which is the opposite of sound investing.

4. They Often Push Risky or Overhyped Products

If a commercial is promoting something like:

  • Day trading platforms
  • Penny stocks
  • "Guaranteed" returns

Hot crypto tokens
…it’s usually a red flag.  Solid investments (like index funds, retirement accounts or long-term diversified portfolios) don’t need flashy advertising.

5. True Experts Don’t Advertise Like That

Respected financial advisors don’t rely on infomercials or YouTube ads promising “10x returns.”  Instead, they build reputations through qualifications, referrals, and transparency.

6. Hidden Fees and Conflicts of Interest

Many advertised investment services downplay or hide their fees.  High commissions, management fees, or conflicts of interest can eat away at your returns — and you might not find out until it’s too late.

In Short:

Good investing is boring.  It’s about discipline, not hype.  The best investment advice comes from trusted sources, not flashy commercials.


N. Russell Wayne

Weston, CT  06883

203-895-8877

www.soundasset.blogspot.com

 

 

 

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