3 New-Investor Myths That Need Busting

Preconceived notions that new investors are uninformed risk-takers are misguided. Forget games and cynicism; they need support and guidance.

An investor using a phone and other digital devices to view their stock performance
(Image credit: Getty Images)

The brokerage industry saw historic growth and engagement among retail investors in 2020 and into 2021. Individual investors opened more than 10 million new brokerage accounts in 2020, according to JMP Securities estimates.

At Schwab, we've added more than 1 million new brokerage accounts for three consecutive quarters, and as we've seen across the industry, a vast majority of those new clients are millennial or even younger.

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Any opinions expressed in this article are those of the author and do not necessarily represent the opinions of Kiplinger. The information provided herein is for informational and educational purposes only and is not meant to be a solicitation for a specific security or service.

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Jonathan Craig
Contributing Writer, Charles Schwab

Jonathan M. Craig serves as Managing Director, Head of Investor Services at Charles Schwab & Co., Inc. He holds leadership responsibilities for Schwab’s Investor Services and Schwab Retirement Plan Services, Inc., which respectively serve the firm’s clients who invest on their own or through a workplace retirement plan.