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Teaching Kids about Investing through Christmas Gifts
Lel Smits, a financial literacy advocate, has made investing a unique Christmas tradition for her children. Instead of toys, her kids receive stocks in familiar companies like banks and supermarkets. This approach aims to foster financial literacy and build wealth over time.
Smits believes that investing should be relatable and understandable for children. She creates stock certificates and drawings to help them visualize their investments. She also prioritizes diversification, investing in different industries to reduce risk.
Smits emphasizes the importance of choosing companies with strong financials and a proven track record. She researches and reads company reports to make informed decisions.
The investment gifts have sparked curiosity in her children. Her son has begun asking questions about ownership and earning money. Smits encourages him to think about work and how to earn investments himself.
Smits encourages other parents to consider investing for their children. She emphasizes that the process can be simple by focusing on basics and choosing quality companies. Investing can help children understand financial concepts and build a solid financial future.