Investing Isn’t as Scary as It Seems

My First Investment: What the 2008 Financial Crisis Taught Me

I started investing in 2007 during my first job right out of college. At 22 years old, I was contributing 10% of my income into a 401(k), and I remember feeling incredibly proud of that decision. I didn’t fully understand investing yet — my parents were not invested in the market — but I knew I was doing something smart for my future. Then the 2008 financial crisis hit.

By the fall of that year, I checked my 401(k) and was stunned to see that the market value had dropped to nearly half of what I had contributed. I was confused and panicked. I called Fidelity right away—the company I worked for offered light financial advisory services, and I needed help making sense of what was happening.

Thankfully, the Fidelity advisor I spoke with talked me off the ledge. He reminded me that because I was contributing to my 401(k) every two weeks from my paycheck, I was actually buying more shares at lower prices—like buying on sale. That stuck with me. I didn’t sell. I stayed the course.

Eventually, the market recovered, and my account did too. That early experience gave me one of the most valuable investing lessons I’ve ever learned: volatility is temporary, but panic can make losses permanent.

If No One Taught You How to Invest, You’re Not Alone

If no one ever taught you how to invest — at home or in school — you’re not alone. Many people feel like there’s a barrier to entry, that investing is something reserved for the wealthy or the financially elite. But the truth is: investing is available and accessible to everyone. And at EViE Financial, we’re deeply passionate about changing the narrative and improving participation in the investment world.

You Might Already Be an Investor

Here’s the thing: if you have a 401(k), you are already investing. That plan your employer offers typically includes a pre-selected mix of funds — often made up of stocks and bonds — that allows the funds you contribute over time to be invested. Notably, this also means that unlike a traditional pension, your 401(k) is exposed to market fluctuations. That can sound intimidating, but it doesn’t have to be.

Understanding how your investments work is the first step to overcoming the jitters you may be feeling. The more knowledge you have, the more confident and prepared you can be.

In most cases, we recommend using the retirement plan provided through your employer — like a 401(k) or 403(b) — as your foundation. These plans usually come with well-curated investment selections and are generally simple to manage on your own.

Let Your Money Work for You

In a world where time is currency, investing is one of the few ways to grow wealth without necessarily trading your hours for dollars. When you invest in something like a broad-based S&P 500 index fund, you don’t really have to actively manage your account on a daily basis. You’re buying a slice of the 500 largest publicly traded companies in the U.S. and letting time and market performance do the heavy lifting. 

Yes, there will be market downturns and upswings, and those can’t necessarily be avoided or predicted. Volatility is part of the deal, but risk doesn’t have to mean recklessness. Instead of avoiding risk altogether, we can manage it with thoughtful strategies. That includes understanding why you’re investing, how long your money can stay invested, and how this fits into your overall financial picture. 

Time in the Market > Timing the Market

One of the most powerful concepts in investing is simple: the longer you stay invested, the more predictable your outcomes become. History has shown that the market rewards patience.

Think of it like planting a tree. You don’t rush the growth process or dig it up as soon as the weather turns — you plant, water, and wait.

According to data from J.P. Morgan Asset Management, from 2003 to 2022, the S&P 500 returned an average of 9.8% annually. But if you missed just the 10 best days during that 20-year period, your return dropped to only 5.6%. Many of those "best days" occurred during periods of uncertainty or right after sharp declines — exactly when fearful investors tend to pull out.

Research from Vanguard and Morningstar echoes this finding: time in the market is one of the most reliable ways to build wealth. Trying to time the market perfectly not only adds stress but often backfires.

Addressing Common Fears

We understand why investing can feel scary, especially when it’s new. But here’s the truth: most fears stem from myths or lack of information. Let’s tackle a few common ones:

"What if I don’t have enough money to invest?"You don’t need a large sum to start. Many platforms allow you to begin with as little as $5–$100. In general, consistency matters more than the size of your initial investment.

"What if I invest right before a crash?"This is where long-term goals and strategy come in. If you’re investing for retirement or long-term wealth, market drops are simply part of the ride. Historically, markets recover — and more often than not, grow.

"What if I make the wrong choice?"There’s no perfect investment and, of course, returns are never guaranteed. But what you can do is align your investments with your goals, your timeline, your values, and your risk tolerance. Diversification helps reduce mistakes, and financial guidance from reputable professionals can help you feel confident and supported in your strategy now and in the future.

"What if I panic when the market dips?"It happens! Most people are naturally risk-averse, and it can feel safer to make sudden changes when dips occur. But more often than not, decisions made in a state of panic are short-sighted, and when it comes to investing, “locking in losses” can be costly. A good financial professional can help you feel more grounded with personalized planning and education so you feel calm and prepared, no matter what the headlines say. 

Planning Is Your Superpower

We’re not trying to time the market or react emotionally to every rise and fall. We’re building a plan. That means asking the right questions:

• What role does this money play in your net worth?

• If the market dips and you need emergency funds, do you have a strategy in place?

• Is your investment portfolio diversified enough that if the market does dip, all of your “eggs” weren’t in that one basket?

• How could selling at a loss impact you at tax time?

When you’ve already considered and planned for these scenarios, market volatility becomes less scary and much more manageable.

Your Investments Can Reflect Your Values, Too!

We also believe that investing isn’t just about money, it’s about meaning. You can grow wealth while staying true to your values. Whether you care about sustainability, social justice, or other causes, we help clients align their portfolios with what they believe in through values-based investing.

The Bottom Line: Investing Doesn’t Have to Be Scary

Stay focused, not fearful. We’ve seen it before: someone gets excited about investing, puts their money in, watches the daily fluctuations… and when it drops, they panic and sell. That’s not investing. That’s reacting.

We like to guide clients to take a more grounded, long-term approach—one that’s rooted in education, patience, and clarity. The goal is to take emotion out of the equation and replace it with strategy. When you understand what you’re doing, have a plan, and stay the course, investing can become an empowering tool — not something to fear. At EViE Financial, we’re here to help you take that first step with confidence, clarity, and support.